Bunds

Fede­ral bonds issued by the German govern­ment. These secu­ri­ties are accepted by the Euro­pean Central Bank (ECB) as colla­te­ral for lending tran­sac­tions. Bunds are auctioned with matu­ri­ties of 7, 10, 15 and 30 years. They can also be “strip­ped”, i.e. coupon payments and redemp­tion amounts can be sold sepa­ra­tely. Bunds are fixed-inte­­rest nomi­nal bonds with fixed matu­ri­ties; unlike paper certi­fi­ca­tes, they are kept in the state’s debt register.