accrual bond definition

accrual bond

Long-term (20 to 25 years) US corporate bond that does not pay periodic interest but instead accrues it until maturity and, although similar to a zero-coupon bond, has a specified coupon (interest) rate. Also called accretion bond or z-bond.

accrual bond is in the Accounting & Auditing, Banking, Commerce & Finance and Securities & Futures Trading subjects.

accrual bond appears in the definitions of the following terms: accretion bond and z bond

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