Coupon Bonds Clause Samples

The 'Coupon Bonds' clause defines the terms and conditions governing bonds that pay periodic interest, known as coupons, to the bondholder. Typically, this clause specifies the frequency of coupon payments, the interest rate, and the procedures for redeeming coupons, such as presenting physical certificates or following electronic processes. Its core practical function is to ensure that both issuers and holders understand the payment schedule and mechanics, thereby providing clarity and predictability regarding interest payments throughout the bond's life.
Coupon Bonds. Monitoring for calls and processing coupons -- for each coupon issue held -- monthly charge $ 5.00
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Coupon Bonds. Municipal Bonds may include zero-coupon bonds. Zero-coupon bonds are securities that are sold at a discount to par value and do not pay interest during the life of the security. The discount approximates the total amount of interest the security will accrue and compound over the period until maturity at a rate of interest reflecting the market rate of the security at the time of issuance. Upon maturity, the holder of a zero-coupon bond is entitled to receive the par value of the security. While interest payments are not made on such securities, holders of such securities are deemed to have received income (“phantom income”) annually, notwithstanding that cash may not be received currently. The effect of owning instruments that do not make current interest payments is that a fixed yield is earned not only on the original investment but also, in effect, on all discount accretion during the life of the obligations. This implicit reinvestment of earnings at a fixed rate eliminates the risk of being unable to invest distributions at a rate as high as the implicit yield on the zero-coupon bond, but at the same time eliminates the holder’s ability to reinvest at higher rates in the future. For this reason, some of these securities may be subject to substantially greater price fluctuations during periods of changing market interest rates than are comparable securities that pay interest currently. Longer term zero-coupon bonds are more exposed to interest rate risk than shorter term zero-coupon bonds. These investments benefit the issuer by mitigating its need for cash to meet debt service, but also require a higher rate of return to attract investors who are willing to defer receipt of cash. The Fund accrues income with respect to these securities for U.S. federal income tax and accounting purposes prior to the receipt of cash payments. Zero-coupon bonds may be subject to greater fluctuation in value and less liquidity in the event of adverse market conditions than comparably rated securities that pay cash interest at regular intervals. Further, to maintain its qualification for pass-through treatment under the federal tax laws, the Fund is required to distribute income to its stockholders and, consequently, may have to dispose of other, more liquid portfolio securities under disadvantageous circumstances or may have to leverage itself by borrowing in order to generate the cash to satisfy these distributions. The required distributions may result in an increase in...
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Coupon Bonds. Suppose you purchase a coupon bond at time t at a price P(t) with coupon payment C and face value F, you receive a coupon payment C at time t+1, and you also sell the coupon bond in a secondary market at a price P(t+1) at time t+1. By definition, the current yield that you receive on this coupon bond during the holding period from t to t+1 is given by Also, the percentage capital gain or loss you incur on the coupon bond during the holding period from t to t+1, denoted by g(t,t+1), is given by It then follows from definition (9) that the return rate on the coupon bond from t to t+1 can be expressed as
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Related to Coupon Bonds

  • Coupons Where any Definitive Notes are to be delivered in exchange for a Global Note, the Fiscal Agent shall ensure that in the case of Definitive Notes with Coupons attached, such Definitive Notes shall have attached thereto only such Coupons as shall ensure that neither loss nor gain of interest shall accrue to the bearer thereof upon such exchange.

  • Coupon (a) The Subscriber may pay the Service Fee by purchasing or receiving the amount of money frames which the Subscriber can use SORACOM Air Global Service (such money frames, the “Coupon”) and registering such Coupon on the SORACOM System instead of the payment pursuant to 14.3 (b) The Subscriber may register up to two Coupons monthly. (c) SORACOM will apply the Coupon on monthly basis. The Free Tier will take precedence over the Coupon. (d) The Subscriber may confirm the application record of the Coupon on the SORACOM System. (e) The Subscriber shall not assign the Coupon after the Subscriber registers the Coupon through the SORACOM System. (f) SORACOM will not refund, convert into money and reissue the Coupon for any reasons. Service Fee General Provisions (a) SORACOM will calculate the Service Fee for each period from 0:00 (UTC) on the first day of every month to 23:59 (UTC) on the last day of the every month. (b) SORACOM will calculate the Service Fee charged per day for the period from 0:00 am (UTC) each day to 23:59 (UTC) on the next day. (c) If the period when the Subscriber starts a telecommunication or session is different from the period when the Subscriber finishes such telecommunication or session, SORACOM may calculate the fee to be charged by a method specified by SORACOM separately. (d) Notwithstanding the provisions of the preceding paragraph, if SORACOM determines it necessary in its sole discretion, SORACOM may calculate the Service Fee based on a different period. (e) SORACOM will round up fractions less than 0.01USD resulting from the Service Fee calculation. (f) If the monthly Service Fee is less than 0.5USD or there are unavoidable reasons which impact on the conduct of SORACOM’s business, SORACOM may require the Subscriber to pay an amount as the Service Fee that equals the sum of more than two months total of Service Fees on or before the day designated by SORACOM. If the monthly Service Fee is less than 0.5USD, SORACOM may round up fractions less than 0.5USD. 1. Basic Fee (1) Fee

  • The Debt Securities Amount Unlimited; Issuable in Series. The aggregate principal amount of Debt Securities which may be authenticated and delivered under this Indenture is unlimited. The Debt Securities may be issued in one or more series. Subject to the last paragraph of this Section, prior to the authentication and delivery of Debt Securities of any series there shall be established by specification in a supplemental indenture or in a Board Resolution, or in an Officer's Certificate pursuant to a supplemental indenture or a Board Resolution:

  • Payment of Debt Securities Called for Redemption If notice of redemption has been given as provided in Section 3.02, the Debt Securities or portions of Debt Securities of the series with respect to which such notice has been given shall become due and payable on the date and at the Place or Places of Payment stated in such notice at the applicable redemption price, together with any interest accrued to the date fixed for redemption, and on and after said date (unless the Issuers shall default in the payment of such Debt Securities at the applicable redemption price, together with any interest accrued to said date) any interest on the Debt Securities or portions of Debt Securities of any series so called for redemption shall cease to accrue, and any original issue discount in the case of Original Issue Discount Securities shall cease to accrue. On presentation and surrender of such Debt Securities at the Place or Places of Payment in said notice specified, the said Debt Securities or the specified portions thereof shall be paid and redeemed by the Issuers at the applicable redemption price, together with any interest accrued thereon to the date fixed for redemption. Any Debt Security that is to be redeemed only in part shall be surrendered at the Place of Payment with, if the Issuers, the Registrar or the Trustee so requires, due endorsement by, or a written instrument of transfer in form satisfactory to the Issuers, the Registrar and the Trustee duly executed by, the Holder thereof or his attorney duly authorized in writing, and the Issuers shall execute, and the Trustee shall authenticate and deliver to the Holder of such Debt Security without service charge, a new Debt Security or Debt Securities of the same series, of like tenor and form, of any authorized denomination as requested by such Holder in aggregate principal amount equal to and in exchange for the unredeemed portion of the principal of the Debt Security so surrendered; except that if a Global Security is so surrendered, the Issuers shall execute, and the Trustee shall authenticate and deliver to the Depositary for such Global Security, without service charge, a new Global Security in a denomination equal to and in exchange for the unredeemed portion of the principal of the Global Security so surrendered. In the case of a Debt Security providing appropriate space for such notation, at the option of the Holder thereof, the Trustee, in lieu of delivering a new Debt Security or Debt Securities as aforesaid, may make a notation on such Debt Security of the payment of the redeemed portion thereof.

  • Redemption of Bonds The Authority shall take, or cause to be taken, the actions required by the Indenture to discharge the lien created thereby through the redemption, or provision for payment or redemption, of all Bonds then Outstanding, or to effect the redemption, or provision for payment or redemption, of less than all the Bonds then Outstanding, upon receipt by the Authority and the Trustee from the Company of a notice designating the principal amount of the Bonds to be redeemed, or for the payment or redemption of which provision is to be made, and, in the case of redemption of Bonds, or provision therefor, specifying the date of redemption and the applicable redemption provision of the Indenture. Such redemption date shall not be less than 45 days from the date such notice is given (unless a shorter notice is satisfactory to the Trustee). Unless otherwise stated therein, such notice shall be revocable by the Company at any time prior to the time at which the Bonds to be redeemed, or for the payment or redemption of which provision is to be made, are first deemed to be paid in accordance with Article VIII of the Indenture. The Company shall furnish any moneys or Government Obligations (as defined in the Indenture) required by the Indenture to be deposited with the Trustee or otherwise paid by the Authority in connection with any of the foregoing purposes.