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parity bond

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Financial Dictionary

Parity Bond

Two or more bond issues with equal rights to bond payments.

Investopedia Commentary

Also referred to as "part passu" or "pari passu" bonds, these types of fixed-income securities are commonly issued by municipalities as a way to gather finance capital.

Related Links

Bond Basics Tutorial
The Lowdown On Savings Bonds
Weighing The Tax Benefits Of Municipal Securities
Advanced Bond Concepts
Asset Allocation within Fixed Income

See also: Bond, Fixed-Income Security, Municipal Bond, Pari-passu

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