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Deferred Interest Bond |
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Deferred interest bond A bond that pays interest at a later date, usually in one lump sum, effectively reinvesting interest earned over the life of the bond. See: Zero coupon bond. Deferred Interest Bond A bond that pays no coupons until a certain point in the future. An example is a zero-coupon bond, which pays no interest at all, but the par value one receives at maturity provides the equivalent. 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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