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American Corporate Accrual Receipts |
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American Corporate Accrual Receipts Also called ACARS, a corporate bond whose coupons have been separated from the principal. ACARS therefore pay no interest. They are sold at a significant discount from par and mature at par. ACARS fluctuate in price, sometimes dramatically, because changes in interest rates make them more or less desirable. See also: zero-coupon bond, STRIPS. Want to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit the webmaster's page for free fun content. |
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