The interest coupons that have been separated from the underlying bond residue and sold at significant discounts to their face value; BBS ledger balances in debt securities are used by customers to create ledger positions in the stripped bond components.
Securities created by separating interest payments on a bond from each other and the repayment of the principal to create standalone securities.... more on: Strips
Separately Traded Registered Interest and Principal Securities. These instruments are created when the component parts of a bond (the principal on the one hand and the coupons on the other) are separated and traded individually. This has the effect of converting a fixed-rate issue into a series of zero coupon issues.
Separate Trading Registered Interest and Principal Securities; for some gilts which are eligible (i.e strippable), the coupon and principal can be traded separately.
See zero-coupon bond. Strips is the term traders use for Treasury zeros. It stands for Separate Trading of Registered Interest and Principal of Securities, as well as the fact that the coupon payment is effectively "stripped" from the bond principal.
Short for "Separate Trading of Registered Interest and Principal of Securities." STRIPS are Treasury Department-sanctioned bonds in which a broker-dealer is allowed to strip out the coupon, leaving a zero-coupon security.
Acronym for “Separate Trading of Registered Interest and Principal Securities.” STRIPS consist of an ownership interest in a specified principal amount of a Treasury security that has been stripped at issuance of the right to receive any interest payments thereon, or an ownership interest in a specified amount of any such stripped interest payment coming due on a specific interest payment date. In either case, the owner of the STRIPS will receive a single payment upon “maturation” of the STRIPS. STRIPS have the economic characteristics of a zero coupon bond. See: TREASURY SECURITIES; ZERO COUPON BOND.
Zero-coupon bonds resulting from stripping a bond. There are two types of strips: "principal only strips" (the nominal value corresponding to the redemption value of the original bond) and "interest only strips" (the nominal value of which is the coupon of the original bond).
Zero coupon Treasury bonds issued by the United States at a discount from face value. Interest is paid as a lump sum at maturity.
A fixed principal note or bond, or a Treasury Inflation-Protected Security (TIPS), whose two components, interest and repayment of principal, are separated and the principal payment becomes a separate zero-coupon security.
Zero coupon Treasuries issued by the U.S. at a discount from face value. Interest is paid as a lump sum at maturity.
A Zero Coupon Treasury Security which stands for Separate Trading of Registered Interest and Principal of Securities (Refer to Zero Coupon Bonds).
Separate Trading of Registered Interest and Principal Securities. Most directly relates to the stripping of U.S. Treasury Notes and Bonds as permitted by the Treasury. Proprietary names for similar securities include TIGRs and CATs.
Separate Trading in Registered Interest & Principal Securities. STRIPs are created when a government security is stripped into its component parts (coupons + principal). Each part is sold as a separate zero coupon security (see below).
Securities created by separating the repayments of a bond to create standalone securities.... more on Strips
Separately Traded Registered Interest and Principal Security. The zero coupon bonds that are traded are a result of the coupon stripping of a bond.
Separate Trading of Registered Interest and Principal Securities. A book-entry system operated by the Federal Reserve permitting separate trading and ownership of the principal and coupon portions of selected Treasury securities. It allows the creation of zero coupon Treasury securities from designated whole bonds.