Serial Bond

A bond issue in which a portion of the outstanding bonds matures at regular intervals until eventually all of the bonds have matured. As they mature gradually over a period of years, these bonds are used to finance a project providing regular, level or predictable income streams. Serial bonds are also used to finance projects with regular, level debt payments such as residential developments. 





|||Serial bonds are issued on the same date and are quoted by their yield, as opposed to their price. The maturity date of the final group of serials is usually closely associated with the predicted apex of income streams from the project that the bonds financed.