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Structure of a Perpetual Bond

Bond Market Basics

Can you explain the term “perpetual bond”?

Apr 13,24

Understanding Perpetual Bond A perpetual bond, also known as a consol or perpetuity, is a fixed income security with no maturity date. This means the holder of such bonds receives interest payments indefinitely. Structure of a Perpetual Bond Perpetual bonds are structured as coupon or interest-only investments. The issuer of these bonds commits to making …

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