Bonds

3

Sep 2026
Zero-Coupon Bond Definition

What Is a Zero-Coupon Bond and How Does It Differ From a Regular Coupon Bond? If you’ve ever wondered what a zero-coupon bond is and why sophisticated investors quietly love them, the answer lies in one of finance’s most elegantly …

3

Sep 2026
Quality spread differential (QSD) Definition

What Is the Quality Spread Differential (QSD)? The quality spread differential, or QSD, is the difference in yield between two fixed-income securities of different credit quality. It is most commonly used to compare a lower-rated corporate bond against a higher-rated …

3

Sep 2026
Investment grade Definition

What Is Investment Grade? Investment grade is a rating given to bonds that credit rating agencies consider to be of relatively low risk and high quality. Issuers with investment-grade ratings are viewed as having a strong capacity to meet their …

3

Sep 2026
Debt security Definition

What is a debt security? A debt security is a financial instrument that represents money loaned by an investor to a borrower, such as a company or government. In return, the issuer agrees to pay interest over time and repay …

3

Sep 2026
Bonds Definition

What are bonds? Bonds are a type of investment where an investor lends money to a government, company, or organisation in exchange for regular interest payments and the return of the original amount at a later date. In simple terms, …

3

Sep 2026
Asset-backed security (ABS) Definition

What is an asset-backed security (ABS)? An asset-backed security (ABS) is a type of financial instrument that is backed by a pool of underlying assets, such as loans, leases, or receivables. These assets generate regular cash flows, which are used …

3

Sep 2026
Accrued interest Definition

What is accrued interest? Accrued interest is the interest that has built up on a bond, loan, or other financial instrument since the last payment date but has not yet been paid. In simple terms, it refers to interest that …

31

Jul 2023
Diversifying beyond volatility: How to trade bonds? 

Imagine this scenario: The stock market is experiencing wild fluctuations, cryptocurrencies are in a rollercoaster ride of ups and downs, and investors are feeling a sense of unease.  However, in the midst of this turbulence, bondholders remain unfazed, enjoying the …

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