What is a Zero-Coupon Bond? - Robinhood
2021-3-11 · First, zero-coupon bond prices are sensitive to interest rates. As interest rates go up, zero-coupon bond prices tend to go down in the secondary market (a marketplace where investors can buy and sell securities). This risk only applies if you sell your bond before maturity. One of the biggest risks of zero-coupon bonds is the default risk.
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