TSR Darashaw Management Trainee Interview Questions and Answers

A zero coupon bond is a bond that is sold at a discount and does not pay interest until maturity.

• Zero coupon bonds are also known as discount bonds.

• They are issued at a price lower than their face value.

• The difference between the purchase price and the face value is the investor's return.

• They are typically long-term investments.

• Examples include U.S. Treasury bills and STRIPS (Separate Trading of Registered Interest and