What is Zero Coupon Bond? | SIE, SERIES7, SERIES65, SERIES66 Exam Prep

A zero coupon bond is a debt security that pays no periodic interest but is sold at a deep discount to face value, with the full face value paid at maturity—the return is the difference between purchase price and par. 📚 Learn more about Zero Coupon Bond and other key terms for your SIE, SERIES7, SERIES65, SERIES66 exam at Open Exam Prep. 🎯 This term appears on: SIE, SERIES7, SERIES65, SERIES66 🔗 Full glossary: https://www.open-exam-prep.com/glossary 🔗 Zero Coupon Bond definition: https://www.open-exam-prep.com/glossary/zero-coupon-bond 💡 Exam Tip: Zero coupon = no periodic interest, sold at discount. HIGHEST interest rate risk. Phantom income taxed annually. Duration = maturity. --- #securities #examprep #financeexam #sie #series7 #series65 #series66