minicoupon bond

minicoupon bond definition - business

minicoupon bond

A bond with a coupon lower than the market rate of interest at the time of issue, resulting in sale of the bond at a discount from face value at issuance. A zero-coupon bond is a special type of minicoupon bond. Compare original-issue discount bond. See also deep-discount bond.

The American Heritage® Dictionary of Business Terms Copyright © 2009 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

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