Accrued Interest

Accrued interest is interest earned since the most recent coupon payment but not yet paid.

Why this matters to income investors

The buyer often pays earned but unpaid interest separately from the quoted bond price.

How to use accrued interest in your research

Read the security or fund documents, identify seniority and embedded options, and compare income with credit, liquidity, duration, and reinvestment risk.

This material is general education and information, not individualized investment, tax, or legal advice.