Just call us Bond. Amortized bond.
Over 700 finance terms, Shmooped to perfection.
Important note: You can't be taxed on unrealized gains, but you will fo' sho' be taxed on the realized ones.
And yes, you'll realize it.
You bought GE at 10 bucks a share. You've held it a few years, and now it's at $30. Nice big fat hefty gain.
When you sell, you will "realize a gain" of $20 a share.