Bond power document is more convenient than a registered bond certificate because it may be exchanged, ... For example, when someone passes away, they often leave bonds as part of their assets.

Real-World Example of a Coupon Bond If an investor purchases a $1,000 ABC Company coupon bond and the coupon rate is 5%, the issuer provides the investor with a 5% interest every year.

Key Takeaways A stripped bond has had its principal and coupon payments bifurcated and sold separately t ... Stripped Bond: What it is, How it Works, Example. Story by The Investopedia Team • 1y ...