### Question
Can you define what Convertible Capital Appreciation Bond means?


### Answer
**Convertible Capital Appreciation Bond** is defined as the following in *48 U.S.C. § 2231*:

> a Bond that does not pay interest on a current basis, but for which interest amounts are added to principal over time as specified in the relevant offering materials and which converts to a current pay bond on a future date

#### Citation:
  - *48 U.S.C. § 2231*
  - Heading: **CHAPTER 20-PUERTO RICO OVERSIGHT, MANAGEMENT, AND ECONOMIC STABILITY > SUBCHAPTER VI-CREDITOR COLLECTIVE ACTION**

