This is your Green Grosser, helping you gross green today. Now we will discuss Zero-Coupon Treasuries. A Zero-Coupon Treasury is a bond in which you do not receive periodic coupons or regular interest payments over a period of time to maturity, instead, it is issued at a discount and matures on a specific date. Zero-Coupon treasuries are direct obligations of the U.S. Government and are considered some of the safest investments available. Why would you want Zero-Coupons? All interest is intrinsically compounded or compounded within the zero-coupon. They are useful for investors who are looking for a set payout on a given date. They are sold at discount from the face value and pay no coupon interest during the lifetime. They are also taxed in the year they mature allowing one to postpone all taxes paid on interest to the year following maturity. All treasury bills are, for example, zero-coupon treasuries. People that are saving for college and retirement are good candidates for Zero-Coupons, because you don’t have to worry about reinvesting small interest checks and know the full value upon maturity. Zero-Coupon Treasuries are also known as CATS, CUBS, COUGARS, and TIGER, the last acronym, TIGER, meaning a treasury investment growth receipt. From GreenGrosser.com, this is your Green Grosser with your tip to help you gross green today.
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