Management Notes

Reference Notes for Management

Characteristics of Bonds – 11 Major Characteristics Explained in Detail | Finance

Characteristics of Bonds

Characteristics of Bonds

➦ A bond is a fixed charge bearing long-term debt security issued by the government and non-government organization to collect long-term debt capital in which borrower agrees to make payments of interest and principal on the specific dates to the holder of the bond instrument.

➦ There are different types of bonds which are introduced by the different organisation with the development of a market.

➦ As it is difficult to generalise the same characteristics of all types of the debt instrument.

➦ However, some common characteristics of all debt instruments are as follows;

Characteristics of Bonds

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