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Finance Dictionary and Glossary of Investment Terms
Accrued market discount
The rise in the market value of a discount bond as it approaches maturity (when it is redeemable at par) and not because of falling market interest rates.
An increase in the market price of a discounted bond resulting from an approaching maturity date, rather than from declining interest rates. The increase occurs because the bond holder will also receive payout at par upon maturity, so the price of the bond will increase gradually as maturity approaches.
The gain in the value of a discount bond expected from holding it for any duration until its maturity.