Posted 12/12/2017 5:07 pm
I realize this is an old thread, but now that it's on the new subforum I'll respond for the benefit of other members.
I typically advise collectors to avoid individual bond coupons, unless the bond is quite rare. In this case, (early U.S. Treasury bonds) there is a market for these coupons because the bonds themselves are so scarce and expensive. But generally, commercial bonds coupons are extremely common.
Bonds often came with one or more pages of 30 to 40 coupons. These would be clipped off by the company at six-month intervals as interest was paid. However, many bonds were sold or cancelled before all the coupons were used -- and few modern day dealers have taken to clipping these off themselves and selling them for a buck or two. With 60 or more coupons you can see why they might be tempted. Then they turn around and sell the coupon bonds, minus the coupons. In the larger scripophily market there's little demand for these coupons; most are bought as curiosities by collectors who don't really know what they are.
I typically advise collectors to avoid individual bond coupons, unless the bond is quite rare. In this case, (early U.S. Treasury bonds) there is a market for these coupons because the bonds themselves are so scarce and expensive. But generally, commercial bonds coupons are extremely common.
Bonds often came with one or more pages of 30 to 40 coupons. These would be clipped off by the company at six-month intervals as interest was paid. However, many bonds were sold or cancelled before all the coupons were used -- and few modern day dealers have taken to clipping these off themselves and selling them for a buck or two. With 60 or more coupons you can see why they might be tempted. Then they turn around and sell the coupon bonds, minus the coupons. In the larger scripophily market there's little demand for these coupons; most are bought as curiosities by collectors who don't really know what they are.
Edited by GregAlex
12/12/2017 5:09 pm
12/12/2017 5:09 pm
