Discount bondDebt sold for less than its principal value. If a discount bond pays no coupon, it is called a zero coupon bond.
Accretion (of a discount)Accretion (of a discount)
In portfolio accounting, a straight-line accumulation of capital gains on a discount bond in anticipation of receipt of par at maturity.
Original issue discount debt (OID debt)Original issue discount debt (OID debt)
Debt that is initially offered at a price below par.
1. Any reduction in price or value, especially when below a stated or normal price. 2. To buy or sell commercial paper at a price below face value to account for interest to accrue before maturity.
Risk adjusted discount rateRisk adjusted discount rate
The rate established by adding a expected risk premium to the risk-free rate in order to determine the present value of a risky investment.
Discount PointsDiscount Points
The fee associated with the note rate for your loan, the more discount points you pay the lower the rate you can buy, the fewer you pay, the higher your rate. If the rate is high enough, the loan is priced above par and these premium points are available to pay closing costs creating a no or low fee loan.
Further Suggestionsdiscounted rate mortgage
Discounted in or by market
Accrued market discount
Pure discount bond
Deep discount bond
Discounted cash flow (DCF)
Discounted payback period rule
Unamortized bond discount