What is a Zero coupon bond?
A zero-coupon bond is a bond bought at a price lower than its
face value, with the face value repaid at the time of maturity. It
does not make periodic interest payments, or have so-called
"coupons," hence the term zero-coupon bond.
Related Q&A：
What the value of the bond that is paid back at maturity is known as？Well, the value of the bond that is paid back at maturity is commonly known as the \par value\ or \face value\ Oh my goodness, it's like the pre-determined amount that the bond issuer promises to return to the bondholder when the bond reaches its maturity date. You know, it's kind of a key term in the world of bonds. So, when you invest in a bond, that par value is something you really need to pay attention to. Isn't that interesting?
