In financial markets, STRIPS are also classified as

A. treasury KIBOR notes
B. treasury KIBOR bonds
C. treasury zero coupon bonds
D. treasury LIBOR bonds
✅ The correct answer is option C.
In financial markets, STRIPS are also classified as treasury zero coupon bonds. A zero-coupon bond is a debt security that does not pay interest but instead trades at a deep discount, rendering a profit at maturity, when the bond is redeemed for its full face value.

Leave a Comment

Your email address will not be published. Required fields are marked *

Scroll to Top