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look at p, reply With". This lesson will define artscroll coupon coupon rate, a term used in fixed-income investing. Where r is the annual coupon rate and n represents the number of payments per year. It is the periodic rate of interest paid by bond issuers to its purchasers.
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In the example given, the coupon rate is the interest rate you requested,. An example can best illustrate the difference. The coupon rate is the annualized coupon divided by par value. As a potential purchaser of bonds, you desire to know the coupon rate to compare this with other investments of similar risk to see if the offering is attractive to you. Select a subject to preview related courses: XYZ Company offers 50 in annual interest per bond, to be paid semi-annually.