Matures Strips Apr 2026

: Each strip "matures" on the date the original payment was scheduled to occur. Investment Characteristics

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: Even though no cash interest is paid until maturity, the annual increase in the strip's value is often taxed as "phantom income" unless held in a tax-deferred account like an IRA. Strategic Use Cases : Each strip "matures" on the date the

: Each resulting strip becomes a zero-coupon bond , meaning it does not pay periodic interest but is instead sold at a deep discount to its face value. Learn more : Even though no cash interest

: Investors use STRIPS to match the maturity date exactly with a future financial obligation.

: Because they are backed by the U.S. Treasury, they carry minimal default risk, though they are highly sensitive to interest rate changes before they mature.

In financial markets, "matures" refers to the date a bond's principal is repaid, while stands for Separate Trading of Registered Interest and Principal of Securities . This process allows investors to treat the individual components of a Treasury bond as standalone investments. Core Concept of STRIPS