Bond Freddy Mac 0% ( US3128X5LK27 ) in USD
Issuer | Freddy Mac | ||
Market price | ![]() |
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ISIN code |
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Interest rate | 0% | ||
Maturity | 02/10/2034 | ||
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Minimal amount | 1 000 USD | ||
Total amount | 39 682 000 USD | ||
Cusip | 3128X5LK2 | ||
Standard & Poor's ( S&P ) rating | AA+ ( High grade - Investment-grade ) | ||
Moody's rating | Aaa ( Prime - Investment-grade ) | ||
Detailed description |
Freddie Mac is a U.S. government-sponsored enterprise (GSE) that buys mortgages from lenders, packages them into securities, and sells them to investors, thus providing liquidity to the mortgage market. This financial analysis focuses on a specific bond issuance, identified by ISIN US3128X5LK27 and CUSIP 3128X5LK2, originating from the United States and issued by Freddie Mac. Freddie Mac, formally known as the Federal Home Loan Mortgage Corporation, is a U.S. government-sponsored enterprise (GSE) established in 1970 to provide liquidity, stability, and affordability to the nation's housing market by purchasing mortgages from lenders, pooling them, and packaging them into mortgage-backed securities (MBS) for investors; its operations are implicitly backed by the U.S. government, which contributes to its strong credit profile. The bond is denominated in USD and is currently quoted at 100% of its par value on the market. A notable characteristic of this instrument is its stated interest rate of 0%, which, combined with its current market price at par, warrants investor attention regarding its specific yield structure and capital appreciation potential at maturity. The total size of this particular issue amounts to $39,682,000, with a minimum purchase increment set at $1,000. The bond is set to mature on October 2, 2034, with interest payment frequencies noted as semi-annual. Reflecting its robust credit profile and the implicit government backing, the bond carries an impressive AA+ rating from Standard & Poor's (S&P) and an Aaa rating from Moody's, indicative of the issuer's exceptionally high credit quality and very low credit risk. |