Treasury
These have maturity dates of less than 10 years.
What are Treasury Notes?
These are debt issues secured by a pool of home mortgages, issued primarily by government-sponsored entities.
What are mortgage backed bonds?
The timing of payments for Mortgage backed bonds.
What is monthly?
Debt securities issued by states, counties, cities, and other political subdivisions.
What are municipal bonds?
These are the two types of secured corporate bonds. Both are backed by a claim on specific property of the issuer.
What are senior and junior bonds?
These have maturity dates greater than 10 years.
What are Treasury Bonds?
The classification or type of bond that mortgage backed bonds fall under.
What are agency bonds?
With mortgage backed securities, the payments made consist of these two things.
What are principal and interest?
The type of tax municipal bonds holders do not pay on interest earned.
What is federal income tax?
High risk, low rated securities; can produce high yields. These are closely correlated with the stock market returns.
What are junk bonds?
Inflation risk is reduced with these.
What are Treasury Inflation-Protected Securities (TIPS)?
Another name for mortgage backed bonds.
What is pass-through securities, participation certificates, collateralized mortgage obligations, collateralized debt obligations, or Mortgage-Backed Securities?
The two types of investors who buy mortgage backed securities.
What are individual and institutional investors?
Municipal bonds that are payable from the proceeds of a special tax
What are Special Tax Bonds?
These only require interest to be paid after a specified amout of income is earned.
What are income bonds?
Although considered extremely safe, these are not direct obligations of the US Treasury.
What are agency bonds?
The percentage of US home loans funded through mortgage backed bonds.
What is 70%?
These benefit from mortgage backed securities because they sell mortgages to Fannie Mae and Freddie Mac.
What are (mortgage) banks?
Municipal bonds that require payment of principal and interest only if sufficient revenue is generated by the issuer
What are revenue bonds?
The are backed by the "full faith and credit" of the issuing corporation.
What are debentures/subordinated debentures?
The downside of investing in Treasury Inflation-Indexed Obligations (TIPS).
What is phantom income?
The three agencies who issue mortgage backed bonds.
The one(s) who pay(s) the investors in Mortgage Backed Bonds.
Who are the homeowners (via Fannie Mae and Freddie Mac)?
Bonds backed by the full faith, credit, and taxing power of the issuer.
What are General Obligation Bonds?
These bonds have no stated interest rate (imputed interest), are very sensitive to interest rate changes, and are taxable on accrued interest.
What are zero-coupon bonds?