Coupon bond. A bond payable to bearer without registration of the owner's name. The holder
may clip the coupons and collect the interest called for.  Coupon bonds are preferred for
speculative dealings and for temporary investment. They generally sell fractionally higher than
registered bonds for the reason that they are more marketable and because a change in
ownership requires no formal transfer but merely the delivery and receipt of the certificate.  
Sometimes registered coupon bonds are issued. These are bonds the principal of which is
payable only to those whose names are inscribed on them as owners and whose names also are
registered (entered on the books of the company issuing them), but the coupons calling for the
payment of the interest as it becomes due are payable to bearer.