Bond Freddy Mac 0% ( US3134A3ZJ89 ) in USD

Issuer	Freddy Mac
Market price	100 % ⇌
Country	United States
ISIN code	US3134A3ZJ89 ( in USD )
Interest rate	0%
Maturity	14/09/2029
Prospectus brochure in PDF format is unavailable at this time We will provide it as soon as possible
Minimal amount	1 000 USD
Total amount	400 000 000 USD
Cusip	3134A3ZJ8
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. A comprehensive review of a specific fixed-income instrument reveals its core characteristics and association with a pivotal U.S. government-sponsored enterprise. This particular obligation, identified by its ISIN code US3134A3ZJ89 and CUSIP code 3134A3ZJ8, has been issued by Freddie Mac, formally known as the Federal Home Loan Mortgage Corporation. As a critical component of the U.S. housing finance system, Freddie Mac operates as a government-sponsored enterprise (GSE) primarily engaged in the secondary mortgage market. Its fundamental role involves purchasing mortgages from lenders, thereby providing liquidity, stabilizing the mortgage market, and expanding housing opportunities across the United States. These acquired mortgages are then pooled and transformed into mortgage-backed securities (MBS) that are sold to investors, with Freddie Mac guaranteeing the timely payment of principal and interest, which significantly contributes to maintaining an orderly and liquid market for residential mortgages. Delving into the specifics of this bond, it is a U.S.-issued instrument currently quoted at a market price of 100% of its par value, denominated in U.S. Dollars (USD). A notable and distinctive feature of this obligation is its stated interest rate of 0%, categorizing it as a zero-coupon bond. Unlike conventional bonds that distribute periodic interest payments to investors, zero-coupon bonds are typically purchased at a discount to their face value, with the investor's return realized from the appreciation to par at maturity. However, with this particular bond trading at 100% of par, it implies a yield of 0% if held until its maturity date of September 14, 2029, under current market conditions. The total size of this issuance amounts to 400,000,000 USD, with a specified minimum purchase size of 1,000 USD, making it accessible to a variety of investors. Furthermore, the bond's documentation indicates a payment frequency of 2, a term that commonly signifies semi-annual coupon payments for traditional interest-bearing securities; for a zero-coupon instrument, this frequency would typically refer to the basis for yield calculation rather than actual periodic interest distributions, as no coupon payments are made. This offering provides a direct exposure to a U.S. GSE's debt, presenting a specific fixed-income profile within the broader market landscape.