From the corporate issuer viewpoint, a zero-coupon bond allows the firm to

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A zero-coupon bond allows the issuer to defer payment obligations because the bond does not pay interest until maturity. This can be advantageous for the firm as it allows them to use the funds for other purposes in the meantime. It does not necessarily offer any advantages for tax purposes or low volatility, and it may actually have a higher multiplier as the initial investment is discounted at a higher rate.

From the Corporate Issuer Viewpoint, a Zero-Coupon Bond Allows the Firm