Definition
Debt securities where investors lend money to an entity (corporate or governmental) for a defined period at a fixed or variable interest rate. Bondholders receive regular interest payments and the return of principal when the bond matures.
Example Usage
"Treasury bonds are considered among the safest investments because they're backed by the full faith and credit of the U.S. government.”
Related Terms
Fixed IncomeYieldCouponCredit RatingInterest RateFixed Income Markets (Bond Markets)Securities
Tags
Fixed IncomeDebt SecuritiesInvestmentInterest
Course Module
Module 1: Introduction to Financial Markets