The implied sovereign yield of a bond, or the theoretical yield of the non-collateralized portion of a bond. 





|||Because many Brady bonds have built-in interest features and principal guarantees to attract secondary-market investors, stripping out these enhancements allows investors to discern easily the underlying sovereign risk of the bond. In other words, the stripped yield is the yield on the cash flow from the part of the bond that isn't guaranteed by U.S. zero-coupon bonds.