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Definition

Bullet Bond

A bond maturing all at once on a single date with no early repayment.

Written by Jere Salmisto·Reviewed by CalcFi Editorial·Last verified: 2026-05-13
TL;DR

Bullet Bond is A bond maturing all at once on a single date with no early repayment. Used in investing.

What Is Bullet Bond?

A bullet bond is a bond that matures on a single date, with the full principal repaid all at once on that maturity date (no gradual repayment). This contrasts with amortizing bonds that pay principal gradually over time. Bullet bonds are straightforward: predictable timing and amount of principal repayment. Most government and corporate bonds are bullet bonds. Investors know exactly when they'll receive their principal back, making it easier to plan reinvestment.

Related Terms

Bond
A debt security where the issuer borrows money from investors and pays periodic interest.
Callable Bond
A bond that the issuer can repay before maturity, typically when rates fall.

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