What is GOI Strips?

[Chetan_Nahata]

Can someone explain?

[Pai]

Zero Coupon Bonds - G-Sec STRIPS

Can someone please share with me any resource where I can get a clear understanding of STRIPS and how they work? Also, any strategies of how to benefit from them? I understood that the Rs 100 bond is split into Rs 100 principal and x% coupon strips ( which are half yearly - for every year 2 coupon strips get created). Which one should a person buy a principal strip or a coupon strip? Also, in what environment? My guess is current environment is a great option to buy these since its high interest…

Here is an earlier thread where we explained this. Should clarify most things you had in mind. In case you have any other questions, please let us know.