What Does the discount Coupon Equivalent Rate (CER) Tell You?
Or consider a current (as of Jan.
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Yield on Treasury Bills, while Treasury notes and bonds offer coupon payments to bondholders, the T-bill is similar to a zero-coupon bond that has no interest payments but is issued at a discount to par.
The coupon equivalent rate (CER) indicates the annualized yield on a short-term debt security that is typically"d on a bank discount basis such that the yield can be comparable with"tions on coupon-bearing securities.
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