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Glite Dictionary
coupon bond

coupon bond

1 7.9
A bond where you give paper coupons to get interest payments
  • noun
  • /ˈkuːpɒn bɒnd/
  • Specialized
translation icon : bono con cupón
  • A strip takes a coupon bond and breaks it up into what looked like little discount bonds.
  • zero coupon bond

Examples

  • Foreign demand for US debt, at current prices, has declined noticeably in the past eighteen months, particularly in longer-dated coupon bonds.

    Blog text (13)

  • Could you tell me what the price of the five year coupon bond was going to be next year?

  • Investors can receive their interest payments by presenting the coupons attached to a coupon bond.

  • She decided to invest in a coupon bond because it promised regular interest payments over the next few years.

  • The bank issued a coupon bond that had five detachable coupons for annual interest payments.

Synonyms

bond
vscoupon bond
  • Specialized
564 4.4

A certificate promising to repay borrowed money with interest

is a specific kind that requires presenting detachable slips to receive interest

Surface Forms

coupon bond singular
coupon bonds plural

Morphology

coupon + bond

The phrase is compositionally a ‘bond’ that has ‘coupons’, so there is an obvious link between the constituents and the MWE meaning. However, the relevant sense of coupon (a detachable certificate representing periodic interest payments) is financial and more technical than the everyday ‘discount voucher’ sense a B1 learner might know, so the exact meaning is not fully predictable without domain knowledge.

Etymology

Coupon bond comes from old paper bonds that had small tear-off slips called coupons. You handed each coupon to the bank or company to get an 'interest payment', so today the term means a bond that pays interest when you present the coupons.