This statement is false. Zero-coupon bonds are issued below par and pay no coupons during their life. The return comes exclusively from the difference between the purchase price and the redemption value, which is generally set at par. This is a distinctive feature that differentiates them from other types of bonds.

OAT€i use the harmonised index of consumer prices for the euro area excluding tobacco to adjust their principal and coupons. This protects investors against inflation across the euro area. This is an important distinction from OATi, which use the French national index.

Long-term OATs (maturity exceeding 8.5 years) are auctioned on the first Thursday of each month at 10:50 am. This regular schedule allows investors to plan their participation in auctions. Medium-term OATs have a different date (third Thursday of the month).

The fungibility technique allows each new OAT issuance to be attached to an existing bond line, sharing the same ISIN code, coupon and maturity. This ensures high liquidity of bond lines on the secondary market, as investors can easily trade these securities without liquidity risk.

OATi are distinguished by their inflation protection mechanism. Their principal and coupons are adjusted according to the French consumer price index excluding tobacco, unlike other bonds which lack this indexation. This characteristic is crucial for investors seeking to protect their capital from monetary erosion.

This statement is true. STRIPS result from the separation of the principal and coupons into distinct certificates, which can be traded separately on the secondary market. This offers increased flexibility to investors who can purchase only the cash flows they are interested in.

This question tests understanding of the different categories of bonds. OATs are sovereign bonds, while fixed-rate and zero-coupon bonds are classified by their interest payment method. Inflation-linked bonds are a specific subcategory with an inflation protection mechanism.