To dispose in building, as the materials of a wall, so as to secure solidity.
A document with which one party promises to pay another within a specified amount of time. Bonds are used for many things, including borrowing money or guaranteeing payment of money.
Long-term debt instrument that represents a contractual obligation on the part of the issuer to pay interest and repay principal.
A certificate of debt issued by a borrower that usually pays a set rate of interest for a specific period of time and featuring a guarantee of repayment of principal in full at maturity.
security evidencing the issuer's obligation to repay a specified principal amount on a date certain ( maturity date), together with interest either at a stated rate or according to a formula for determining that rate. Bonds are distinguishable from notes, which usually mature in a much shorter period of time. Bonds may be classified according to, among other characteristics, maturity structure ( serial vs. term), source of payment ( general obligation vs. revenue), issuer (state vs. municipality vs. special district), price ( discount vs. premium), rating (rated vs. unrated, or among different categories of ratings) or purpose of financing (transportation vs. health care). Compare: MUNICIPAL FUND SECURITY; NOTE; VARIABLE RATE DEMAND OBLIGATION.
A long-term debt instrument that makes a series of equal periodic coupon payments throughout its life and a lump-sum payment called par value or face value at the maturity.
Any interest-bearing or discounted government or corporate security that obligates the issuer to pay the bondholder a specified sum of money, usually at specific intervals, and to repay the principal amount of the loan at maturity. Bondholders have an IOU from the issuer, but no corporate ownership privileges, as stockholders do.
money, paid by a tenant, held as "insurance’ against that tenant damaging a property, or not paying the rent.
A written obligation by which a bonding agency agrees to pay a specified amount, or complete specified work, in the event a contract is not completed.
A financial guarantee, issued by a bank or insurance company, allowing the beneficiary to draw down if the exporter has defaulted, eg if the goods and services are unsatisfactory. Most bank bonds are "on-demand" which means the buyer does not need to justify or provide evidence of his dissatisfaction
security that pays a fixed amount of interest at a regular interval over a certain period with the promise to repay the principal at a stated date. Bonds are loans given to companies and government entities that promise to repay the loan at a specified interest rate. Bonds are considered less risky investments than stocks. A bond's rating is like a person's credit rating. It gives you an idea of whether the company that issued the bond will be able to make its loan payments. When interest rates rise, bond prices fall; when rates are falling, bond prices rise.
A debt security issued by such entities as corporations, governments or their agencies, e.g. statutory authorities, in return for cash from lenders and investors. A bondholder is a creditor of the issuer and not a shareholder. The issuer of a bond is effectively a borrower, and is required to pay interest to creditors throughout the life of the bond.
A long-term debt security. An investor buying a bond in the primary market is essentially lending money to a corporation. Bonds generally make interest payments every six months and pay the par value to the investor at maturity.
A security for which registration may be required, a bond is a long-term debt instrument that promises to pay the lender a series of periodic interest payments in addition to returning the principal at maturity. In every case, a bond represents debt-its holder is a creditor of the corporation and not a part owner as is the SHAREHOLDER.
legal obligation of an issuing company or government to repay the principal of a loan to investors at a specified future date. Bonds are usually issued with a par or face value representing the amount of money borrowed. The issuer also promises to pay a percentage of the par value as interest on the borrowed funds. The U.S. government, local governments, water districts, companies and many other types of institutions sell bonds.
Basically an IOU issued by a business entity promising to pay the face value plus interest by a certain date. Bonds can be issued by the U.S. government, corporations, city and state municipalities, and foreign governments.
Certificate or evidence of a debt issued by a corporation or government, which provides a promise to the holder that the principal and a specified amount of interest will be repaid within a specific period of time. Investing in a bond is akin to lending money to a government or organization in return for interest and principal. See Fixed-Income Securities.
A certificate of ownership of a specified portion of a debt due by the federal government to holders, bearing a fixed rate of interest.
a sum of money that an investor (like you) loans to a government or corporation. They promise to pay it back after a fixed period of time and in the meantime pay interest at a fixed rate. Bonds may be bought at the time of issue or at any other time until maturity. Canada Savings Bonds (CSBs) are similar to other bonds except that they can be cashed in at any time for their face value plus earned interest. They pay less interest to balance this advantage.
A document recording a loan and specifying the date of maturity and rate of interest to be paid. It is basically a long-term debt issued for a specific purpose.
A debt instrument issued for a period of more than one year with the purpose of raising capital by borrowing. The Federal government, provinces, cities, corporations, and many other types of institutions sell bonds. A bond is generally a promise to repay the principal along with interest on a specified date (maturity).
Long term German Government Bond.
a promissory note of a corporation or government that represents evidence of a debt on which the issuer promises to pay a specified interest and to repay the loan at some specified future date. Page 343
deed by which a person binds himself to pay another.
Specific type of debt instrument most commonly sold by government entities.
A document ordered by the court that allows a person to qualify as a fiduciary or to sell real estate. Two bonds that might be ordered are personal bonds or corporate bonds. A corporate bond requires a premium and is obtained through an insurance company.
A debt instrument issued for a period of more than one year with the purpose of raising capital by borrowing Bond is a promise to pay the principal along with the interest after a specified period of time.
Bonds are securities that pay a fixed rate of interest issued by companies and governments. The repayment of the principal is due at a pre-determined date called maturity.
A document that promises to repay a loan, which is similar to a promissory note, often with a mortgage that pledges real estate as security.
A certificate providing evidence of a debt of the issuer. It states the principal amount, the maturity date and the interest rate. With the exception of government issues, bonds are secured with a pledge of specific assets. An unsecured bond, or one that is secured by the financial strength and/or credit worthiness of the issuer is known as a debenture.
A written promise to pay a designated sum of money (the principal) at a specific date in the future, along with periodic interest at a specified rate. The payment on bonds are identified as Debt Service. Bonds are generally used to obtain long-term financing for capital improvements.
1. A promise under seal to pay money. The term generally designates the promise made by a corporation to pay money to bearer; 2. An IOU or promissory note issued as evidence of long-term indebtedness and a future promise to pay.
Long-term debt issued by the government, financial institutions or state-owned infrastructure enterprises with a maturity of five or more years. The interest received on some of these bonds could also be exempted from tax, fully or partially.
A negotiable certificate evidencing indebtedness, paying a fixed rate of interest over the life of the obligation, hence the name fixed-income security. The issuer is obligated by a written agreement (the bond indenture) to pay the holder a specific sum of money, usually semi-annually but sometimes at maturity, as is the case with zero-coupon bonds, and the par value, of the certificate at maturity. Bonds are long-term obligations, meaning they have maturities of five years and frequently, ten years or longer.
A written promise, generally under seal, to pay a specific sum of money, called the face value, at a fixed time in the future, called the date of maturity, and carrying interest at a fixed rate, usually payable periodically.
1. A written undertaking to perform or refrain from performing specified acts, usually guaranteed by a third party. 2. A security evidencing debt, specifying the date payment is due and usually specifying a rate of interest and its dates of periodic payment.
An obligation or debt issued by a corporation, the U. S. government or one of its agencies, or a state or one of its municipalities, divisions, or agencies.
An interest-bearing or discounted certificate of debt issued by such entities as corporations, municipalities, and governments and their agencies.
A debt instrument in the capital markets. The US government, corporations and municipalities use bonds to raise money. Bonds can also be backed by real estate loans and the payments from mortgages.
Bonds is the all-purpose term applied to fixed interest securities issued either by governments, international institutions or companies, where the issuers guarantee the repayment of the capital and payment of interest at a specific rate and in a specific way. Governments in all countries issue bonds. In Britain they are referred to as gilts. In America the main form is US Treasury Bonds. Most government and corporate bonds are issued with a fixed rate of interest (the 4 coupon'). Each bond is issued at a nominal or 'par' value. However, bonds can subsequently be bought and sold for more or less than the par value. But the coupon relates to the par value rather than the buying or selling price. In addition, the capital gain or loss, upon maturity, will be the difference between the purchase price and par.
A certificate or evidence of a debt; a written commitment to pay a certain amount of money if certain conditions are not met.
Typically, an agreement which binds a person to a particular action or responsibility. A bond provides protection against loss or damages resulting from failure to meet duties or obligations. Examples include bonds for county officials and probate administrators.
An obligation to repay a debt, which can be issued by governments or corporations. If you invest in — purchase — bonds, you lend money to the issuer who, in return, typically promises to make regular interest payments with full repayment on a specific date in the future (at maturity).
Financial instruments representing debt obligations issued by the government or corporations traded in the futures market. A bond promises to pay its holders periodic interest at a fixed rate (the coupon), and to repay the principal of the loan at mat urity. Bonds are issued with a par or face value of $1,000. Bonds are traded based upon their interest rates - if the bond pays more interest than available elsewhere, its worth increases.
An IOU from a government or corporation as a promise to pay interest in return for the use of money, usually a secure investment.
A pledge from a surety to pay the bond amount to the Obligee (owner or contractor) in the event of a default, or non-payment by a principal (contractor or subcontractor), as with Bid, Performance and Labor and Material Bonds.
a debt security issued by a company, municipality, or government agency. As a bond purchaser, you're lending money to the issuer. In exchange, the issuer promises to repay the amount of the loan on a specified maturity date. The issuer is also obligated to pay the bondholder periodic fixed-interest payments over the life of the loan.
A contractual obligation to repay a specified amount of money in a specified amount of time, including a set rate of interest on the amount that is borrowed. View Capstone Lesson(s) that address this concept
A long-term I.O.U. or promise to pay. It is a promise to repay a specified amount of money (the face amount of the bond) on a particular date (the maturity date). Bonds are primarily used to finance capital projects.
A debt security usually issued by a corporation to a large number of investors to raise a large amount of cash. A bond involves a formal commitment that requires the issuing company to make cash interest payments to the bondholder and a principal payment when the bond matures, usually between five and thirty years after the bond is issued.
Bonds are essentially loans, or debt. Corporations, governments or municipalities issue them to raise money. A bond certificate is like an IOU; the issuer is required to pay a fixed sum annually until maturity and then a fixed sum to repay the principal. Mutual funds that invest in bonds are called "income funds".
(debt security) A negotiable, long-term debt instrument that carries certain obligations (including the payment of interest and repayment of principal) on the part of the issuer. Common issuers are the Federal government (Treasuries), State and Local governments (Municipals) and Businesses (Corporates).
Issued or guaranteed by a government or business, bonds are long-term investments that are backed by assets of a company. With bonds, investors receive a specified amount of interest and recover the principal amount when the bond matures. Regular bonds, unlike Canada Savings Bonds, can be transferred from one owner to another and can be cashed by someone other than the original buyer.
Written promise to pay a specified sum of money, called principal or face value, at a specified future date, called the maturity date, along with periodic interest paid at a specified percentage of the principal (interest rate). Bonds are typically used for long-term debt to pay for specific capital expenditures.
A bond is a formal undertaking from an approved bank or insurance company to pay a sum of money to ABTA in the event of the Member's financial failure, primarily for the purpose of reimbursing customers who would otherwise lose money which they had paid. The provision of a bond is an acceptable method of complying with the statutory requirements for customers' financial protection under the EC Directive on Package Travel (The Package Travel, Package Holidays and Package Tour Regulations 1992-SI 3288/1992).
Interest paying certificate issued by a government, public agency or corporation, promising to pay the holder a specified sum on a specified date.
A bond is a debt instrument issued by an entity for the purpose of raising capital. A bond might be issued by a corporation or other entities such as state or municipal governments. Bonds normally have a set maturity (term) and interest (coupon) rate associated with them.
A debt security issued by a government or corporation promising repayment of a specified amount, plus interest, by a stated date.
A bond is an interest-bearing certificate of indebtedness. The issuer of the bond has an obligation to pay the holder of the bond a fixed rate of interest over the life of the obligation. Bonds usually have varying maturities such as a maturity of five years, ten years or longer.
Bonds are IOUs or debts issued by governments or companies. The purchaser of a bond is effectively lending money to the issuer. The bond returns interest to the bond purchaser, generally at a set percentage, hence their name 'fixed-income' funds.
A certificate of obligation, either unsecured or secured with collateral, to pay a specified amount of money within a specified period of time.
A security issued by a corporation or a government body. A buyer (the investor) is lending money to a seller (a corporation or a government body) in return for regular interest payments and the eventual repayment of the loan.
Bonds are IOUs issued by a corporation, the U.S. Government, or a city. It is held by the lender as receipt that the business or institution has borrowed a specific amount of money. All bonds pay an annual interest and are payable in full at a specific date written on the bond.
An interest-bearing or discounted certificate of indebtedness, paying a fixed rate of interest over the life of the obligation.
An amount of money that must be on file with a government agency to secure a contractor's license. The amount varies, but the bond may be used to cover a contractor's unpaid bills or disputed work.
a loan to a corporation or government agency, repayable with interest
1. A debt instrument in the capital markets. The U.S. government, corporations and municipalities use bonds to raise money. Bonds can also be backed by mortgages. The best known bond is the 30 yr treasury bond issued by the U.S. government. 2. A sum of money given to a court to guarantee against a loss. For example if there is a lien on a property, the owner may remove the lien by posting a bond.
Medium to long-term debt securities that pay a regular coupon and are redeemed at face value at a fixed maturity date.
A written promise to repay a debt at a specific date or maturity with periodic payments of interest (customarily every six months).
An obligation undertaken by a third party promising to pay if a contractor does not fulfill its valid obligations under a contract. Some bonds may also promise that the Surety will perform if the contractor fails to.
An interest bearing security of indebtedness, i.e., a promise to pay a certain sum of money by a future date, usually referred to as the maturity date, with interest payable thereon periodically at a specified rate, in registered form and regulated by state and federal securities laws.
It is like an IOU. By buying a bond you loan money to a company, a municipality, state or the Central Government
Publicly traded long-term debt securities, issued by corporations and governments, whereby the issuer agrees to pay a fixed amount of interest over a specified period of time and to repay a fixed amount of principal at maturity.
A debt instrument issued by governments and corporations. A bond is a promise by the issuer to pay the full amount on maturity plus interest payments at regular intervals.
A bond is a certificate of indebtedness through which the issuer promises to pay the holder a certain amount of interest for a fixed period and to repay the capital at maturity. Canada Mortgage and Housing Corporation (CMHC) The Canada Mortgage and Housing Corporation is a Crown corporation that is responsible for administering the National Housing Act. It fosters the improvement of the housing and living conditions of Canadians. In particular, the CMHC creates and offers mortgage insurance products.
An interest-bearing certificate of a corporation or government, usually secured, promising to pay the holder a fixed amount on a specified maturity date.
A long-term debt security of the Government or a corporation with maturity of 10 years or more from the Issue date. Interest is usually paid every six months and its face value returned, repaid at maturity.
A written promise to pay a specified sum of money by a fixed date, and carrying with it interest payments at a fixed rate, paid periodically. A Note is similar, but issued for a shorter period of time.
Debt instrument for the purpose of borrowing capital, issued in the form of securities (mostly with fixed income) with medium to long terms to maturity.
A document recording a loan, promising to pay the creditor of bondholder interest for a specified time and to repay the capital borrowed on maturity.
A bond is an IOU. You effectively lend money to a company or government in return for a fixed level of income (coupon) and the guaranteed return of your investment at the end of the bond's life (known as 'the maturity date'). In return you receive a certificate that you can sell on in the secondary market.
Money which the state or a company raises among the general public. Interested parties make their money available in the form of a fixed-term loan. This money attracts interest from the borrower at a fixed or variable rate of interest.
An investment in the government or a company essentially a loan, with a fixed or variable rate of interest. Usually has a fixed term.
A loan that entails a promise by a corporate, municipal or government entity (the borrower, or "issuer") to repay a borrowed amount ("principal") on a specific date ("maturity") at an agreed-upon interest rate.
a statement of debt similar to an IOU. Bonds are issued by governments, companies and other entities and individuals in return for cash from lenders and investors. The borrower pays interest to the lender or investor through the life of the bond. Borrowers seeking funds from the public through bond issues usually announce the issues through the financial press and electronic media, and spell out the details in a prospectus available from stockbrokers, banks and in the case of Commonwealth securities, the Reserve Bank. Bonds are generally medium to long term fixed interest securities. An early definition of a bond was a "coupon security offering more than one interest payment" but the emergence of zero coupon bonds has complicated the picture.
Bonds are debt securities issued by corporations and governments. In fact, bonds are loans that you and other investors make to the issuers in return for the promise of being paid interest, usually but not always at a fixed rate. The issuer promises to repay the debt on time and in full.
A tradeable debt security usually issued by a government or semi-government body to raise money. Holders of the bond have lent money for which they receive a fixed rate of interest over a set period of time. (ie a bond holder is a creditor of the issuer and not a shareholder) The bond is repaid with interest on the predetermined maturity date.
Bonds are debt securities issued by governments and corporations and are redeemed at their face value after a stated period of time. The issuer promises to pay the holder a specified amount of interest for a specified length of time and to repay the loan on its maturity. Until that time, their price is subject to the vagaries of the marketplace. Bonds are secured by specific assets.
A certificate evidencing a debt on which the issuer promises to pay the holder a specified amount of interest for a specified length of time, and to repay the loan on its maturity.
a financial instrument whereby the borrower agrees to pay the investor a rate of interest for a fixed period of time. A typical bond will involve regular interest payments and a return of principal at maturity
Formally "bail bond." A paper signed by a defendant or his surety setting an amount (in money or property) which may be forfeited for failure of the defendant to keep certain conditions (such as keeping the peace, avoiding the victim, remaining within the locality, etc.) or to appear before a specified court at a specified time. In return for posting bond, the defendant is temporarily released from jail.
Bonds come in three flavors. A personal surety bond, also known as a signature bond, is simply a contract between whoever signs it (usually the accused and his or her family members) and the Court promising to pay a certain amount if the person doesn't show up. A ten percent bond is similar to the personal surety bond with the added requirement that ten percent of the face amount of the bond be posted with the Court. For example, if you have a $100,000 ten percent bond then $10,000 must be deposited with the Court. This money is then returned to whoever posted it when the case is over. The third bond is the corporate surety bond. This is where a bondsman posts the bond with the Court. Of course, the bondsman will look to the accused and his family for assurances of payment and for his premium (usually 15% of the face value of the bond which is never returned).
A form of debt security issued by large corporations and governments to raise funds from investors to finance projects or business ventures. The bond issuer will pay the investor or bondholder a fixed rate of interest over the life of the bond in exchange for the use of the money. The principal amount of the loan is repaid at maturity.
A certificate or evidence of a debt on which the issuing company or governmental body promises to pay the bondholders a specified amount of interest for a specified length of time, and to repay the loan on the expiration date.
A certificate of indebtedness to a corporation or government over a period of more than one year. (A debt of less than one year is called a 'note.')
In finance and economics, a bond or debenture is a debt instrument that obligates the issuer to pay to the bondholder the principal (the original amount of the loan) plus interest. Thus, a bond is essentially an I.O.U. (I owe you contract) issued by a private or governmental corporation. The corporation "borrows" the face amount of the bond from its buyer, pays interest on that debt while it is outstanding, and then "redeems" the bond by paying back the debt. A mortgage is a bond secured by real estate.
a long-term debt instrument, characterized typically by fixed, semiannual interest payments and a specified maturity date.
An investment security for which a government or corporation promises to pay an amount at maturity (usually more than five years in the future), with interest, in return for the current investment. A bond is a tradable security. The minimum investment in most bonds is $1,000.
A certificate of debt on which the issuer (corporation or government) promises to pay the holder a specific rate of interest over the life of the bond. At maturity, the principal is repaid in full to the holder.
A written agreement with an insurance company or other surety that, in the event that the personal representative causes a certain loss to the estate, the insurance company or surety will make up that loss.
A debt instrument, issued by a borrower and promising a specified stream of payments to the purchaser, usually regular interest payments plus a final repayment of principal. Bonds are exchanged on open markets including, in the absence of capital controls, internationally, providing a mechanism for international capital mobility.
A binding agreement; a covenant; a duty, a promise, or another obligation by which one is bound. See also MARRIAGE BOND.
An amount of money (usually $5,000-$10,000) which must be on deposit with a governmental agency in order to secure a contractor's license. The bond may be used to pay for the unpaid bills or disputed work of the contractor. Not to be confused with a performance bond. They are an insurance policy which guarantees proper completion of a project. Such bonds are rarely used in residential construction.
an interest-bearing security, redeemed after a fixed period.
A long-term debt instrument under which a company promises to pay a specified amount of interest and to repay the principal amount on a specified maturity date.
A long term promissory note, prices go up when interest rates go down.
An insurance agreement under which the insurer agrees to pay, subject to agreed limits, compensation for financial loss caused to another by specified acts or defaults of a third party OR a long term interest bearing security instrument, issued by a goverment or corporation.
Any form of security, including a cash deposit, surety bond, collateral, property, or instrument of credit in an amount and form satisfactory to the governing body.
A type of security which qualifies as a liability. It is a debt obligation with a fixed, sometimes also with a floating interest rate and usually with a specific due-date. Synonym: Debenture.
A debt instrument of a government or corporation that provides periodic interest payments to the holder during the life of the contract and repays the face value.
A bond is a debt instrument in which the issuer promises to pay to the bondholder principal and interest according to the terms and conditions of the bond.
Debt security that represents the issuer's obligation to pay the principal plus interest due on a certain date of maturity. Until that time, the issuer is obligated to regularly pay a fixed rate of interest to the bondholder in return for the principal investment.
A debt certificate or IOU issued by a corporation or unit of government. Borrowers are promised interest for loaning their money to the bond issuer and the return of their investment at a specified future date.
A certificate or evidence of debt from a corporation or a governmental agency, which promises to pay the bondholders a specified amount of interest for a specified period of time and to repay the loan on the maturity date.
A bond is security in the form of a convertible loan with a maturity date, where the investor lends money to a company or government.
A generic term for a long term debt instrument. Commonly a bond had a fixed and finite maturity date and carries an interest coupon for the periodic payment of interest. Normally the bond has a fixed coupon but variable coupon bonds are not uncommon. Other names for bond type instruments include: notes, debentures or stock. Bonds are generally issued by governments, banks or companies to finance investment projects.
A debt security issued by a corporation or government to borrow money for a period of more than one year. The borrower (issuer) agrees to repay the principal along with interest on a specified date.
A bond is essentially a loan which you, the investor or 'bondholder', agree to give to a company (or a government) for a fixed period. In return, the company pays you a fixed rate of interest. At the end of the bond's term, you then get your original investment back. In the meantime, you can sell your bond on to someone else if you wish. If interest rates generally are going up, the price of the bond will fall. Effectively, this offers new buyers a higher return on their money. Conversely, if rates are falling, bond prices rise, but the holder will still get the same interest income. Interest rates vary depending on the quality or reliability of the bond issuer. Government bonds, or gilts, for example, carry little risk and thus offer lower interest rates. Company bonds offer higher interest rates, with the riskiest companies' (or governments') bonds offering the highest of all and being called junk bonds.
A long-term debt security issued by a government or corporation promising repayment of a given amount by a given date, plus interest. Bonds are a component of long-term debt in the liabilities section of the balance sheet.
A negotiable written instrument evidencing a debt. Under the terms of the contract, the issuer is obliged, among other things, to pay the holder a fixed principal amount on a specified future date, and often to also make periodic payments of interest. Bonds are usually issued by companies, governments, or local authorities or other public bodies.
a debt security with which the investor loans money to an entity (company or government) that borrows the funds for a defined period of time at a specified interest rate.
A statement of debt, similar to an IOU. Bonds can be issued by governments or companies in return for cash from lenders/investors. The borrower pays interest to the lender/investor throughout the life of the bond. The price of bonds changes inversely with interest rates i.e. if rates go up the price of bonds will come down.
agreement to pay a penalty if certain conditions or actions are not performed
An investment offered by a corporation, the U.S. government, or a city, and which promises to pay the bondholder a certain sum at a specified time, and may also include the promise to pay interest twice a year.
A debt instrument issued through a formal legal procedure and secured either by the pledge of specific properties or revenues or by the general credit of the state.
In criminal law, a surety bond assures the appearance of the Defendant or the payment of the Defendant's bail if the Defendant fails to appear.
Interest bearing securities which entitle the holder to interest during their life and repayment of the loan at maturity. They can be issued by companies or governments. Not to be confused with an Investment Bond.
A third party obligation promising to pay if a vendor does not fulfill its valid obligations under a contract. Types of bonds include LICENSE, PERFORMANCE, BID, INDEMNITY & PAYMENT. (Also see SURETY BOND)
A bond is a piece of paper that shows a person has agreed to loan money to the U.S. Government. The government uses the money to help pay its bills. Click here to see what a bond looks like.
An interest-bearing certificate of debt, usually issued by a government, which has a stated maturity date.
An instrument that obligates a person, his/her heirs, executors and administrators to pay a specified sum of money to another person on a specified day.
These are issued by companies in order to raise finance and pay interest to the holder.
A long-term certificate of debt, a written contract by an issuer (the borrower) to pay the lender a principal amount on a stated future date. Most (but not all) bonds are interest-bearing, with the lender receiving a series of interest payments (coupons) on the principal amount until maturity.
A certificate of debt issued to raise funds. It normally has a fixed rate of interest and is repayable at a fixed date.
A certificate of debt issued by a company or the government. Bonds generally pay a specified amount of interest for a specified time period and repay at maturity.
A loan contract, which is evidence of the borrower's obligation to repay loaned money with interest.
The evidence of a personal debt which is secured by a mortgage on real estate.
A loan taken out by the Town to pay for something now. The loan is re-paid over a number of years. Purchasers buy the bonds and that provides the money to the Town, the Town pays the loan back with interest to the purchasers of the bonds.
An interest-bearing certificate issued by a government as a promise to repay a loan at the end of a specified period. The buyer of the bond is lending money to the government which issues the bond.
A certificate that is evidence of a debt and is initiated when the issuer sells the bond to the holder for a specific amount of cash. The issuer is obligated to pay the holder of the bond a fixed sum (the bond's face value) at a stated future date and to pay interest (usually twice a year) at a specified rate during the life of the bond. Bonds may be issued by corporations, the federal government, and by state and local governments as a means of raising funds in the capital markets.
A method of borrowing used by private companies, governments or municipalities consisting of the issue of fixed-interest securities, repayable on a specified date. Certain government bonds have no fixed redemption date, and can be sold at their prevailing market price.
A debt that obligates a corporation or governmental unit to repay, at the end of a certain term, money loaned to it by the bondholder. The bondholder generally receives interest for the term of the bond. “Mortgage bonds” are backed by collateral, whereas “debentures” are backed only by the good faith and credit rating of the issuing company.
A certificate representing creditor ship; the issuer pays interest on specific dates and redeems by paying the principal at maturity.
A form of insurance between two parties obligating a surety to pay against a performance or obligation.
a written obligation that is under seal or issued on some type of security.Real estate bonds, for example, use trust deeds or mortgages as security.
An interest-bearing certificate of debt with a maturity date. An obligation of a government or business corporation. A real estate bond is a written obligation usually secured by a mortgage or a deed of trust.
An insurance agreement pledging surety protection in case the company goes bankrupt or defaults on payments.
a written record of a debt payable more than a year in the future. The bond shows amount of the debt, due date, and interest rate.
A debt instrument, also considered a loan, that an investor makes to a corporation, government, federal agency, or other organization (known as an issuer) in which the issuer typically agrees to pay the owner the amount of the face value of the bond on a future date, and to pay interest at a specified rate at regular intervals.
A security that obligates the issuer to repay the principal amount upon maturity and to make specified interest payments over specified time intervals to the bond holder. The issuer can be a corporation or a governmental entity. A bond is a debt obligation; the bondholder is a lender to the issuer and there is no ownership position.
the written evidence of a debt. Chapters 66 and 67 of the Wisconsin Statutes contain the procedures and limitations for municipalities issuing general obligation bonds, revenue bonds and special assessment bonds.
an interest bearing security issued by corporations and governments. Bonds are essentially loans by the investor to the issuer in return for interest payments.
A negotiable certificate evidencing indebtedness. A legal contract sold by an issuer promising to pay the holder its face value plus amounts of interest at future dates. Bonds are also referred to as fixed income securities.
This term can have different meanings. See Corporate Bond, Insurance Bond.
A long term debt security, or IOU, issued by a government or corporation that generally pays a stated rate of interest and returns the face value on the maturity date.
Bonds are debt and are issued for a certain period of time. The price of various bonds can be traded with Finspreads
(1)A certificate issued by a government or corporation as evidence of a debt. The issuer of the bond promises to pay the bondholder a specified amount of interest for a specified period and to repay the loan on the expiration (maturity) date. (2) A certificate or policy issued by an insurance company guaranteeing performance, fidelity or surety.
A security maturing in the medium or long term and which usually generates returns to the investor through periodic payments (coupons) until maturity. Among Treasury Securities, Bonos and Obligaciones del Estado fall into this category.
1 a formal undertaking, such as a contract under seal, which binds a person to pay a sum of money in default of fulfilling some condition or acknowledges the existence of a debt; 2 an instrument of indebtedness generally issued by a government or by semi government bodies/ Bonds issued by companies are call debentures; 3 an undertaking by an offender to be of good behaviour for a certain period.
A certificate of debt issued by a government or corporation guaranteeing payment of the original investment plus interest by a specified future date. In other words, a loan extended by the bond owner to the bond issuer (government or company).
Written, signed, witnessed agreement requiring payment of a specified amount of money on or before a given date
Money or property that is promised or given to the court to make sure a defendant will come back to court after getting out of jail.
A document for expressing surety. A bond engages three entities; the "surety" (bonding company) sells the bond to the "principal" for the purpose of paying the amount the principal will owe to the "obligee" upon failure of the "principal" to perform some act or provide some service under agreed terms.
Bonds are securities representing debt owed by companies to investors. They denote a contract which commits a borrower (the company) to pay a bondholder (the investor) fixed interest payments and to return the bondholder's principal amount by a specified maturity date. Companies pay bondholders interest (sometimes called the coupon rate) on the money borrowed. Bonds are useful ways for corporations, municipalities, states and the U.S. government to finance operations.
An obligation by a corporation or government to pay back money borrowed from the bondholder on a determined date, together with any accrued interest. This obligation takes the form of a bond.
A bond is a type of financial securities, it reflects a promise by a borrower to repay the amount borrowed on a specific date in the future and pay an agreed-upon-conditions interest to the bondholder on regular basis.
The generic name for a tradeable loan security issued by governments and companies as a means of raising capital. Government bonds are known as gilts or Treasury Stock.
A written agreement by which a person insures he will pay a certain sum of money if he does not perform certain duties property.
A debt instrument issued either by a company, the government or its agencies. It carries a fixed interest and promises return of principal on a specified date.
A certificate of debt issued by a company or the government. Bonds generally pay a specific rate of interest and pay back the original investment after a specified period of time.
A fixed interest security under which the issuer contracts to repay the lender a fixed principal amount at a stated date in the future and a series of interest payments either semi-annually or annually. This type of bond is called a bullet or straight bond. See Zero Coupon Bond, Call Feature, Put Feature, Sinking Fund, Floating Rate Bond.
An IOU issued by a company or a unit of government promising to pay interest at a certain rate and to repay the principal at a specified time.
a corporate or governmental security of a long-term nature, which has a fixed interest rate and dates upon which principal and interest are to be paid.
A certificate serving as security for payment of a debt. Bonds backed by mortgage loans are pooled together and sold in the secondary market.
A security that represents the debt an issuer owes to the bondholder. The bond issuer, usually a corporation or a government, is obligated to pay the bondholder interest income at specified intervals and to repay the principal amount of the loan at maturity. Return to Previous
A debt instrument issued by corporations and governments to raise capital. Interest on the outstanding debt is paid to bondholders at specific intervals, with the principal amount of the loan paid on the bond maturity date.
an interest bearing certificate of debt by which the issuer is obligated to repay principal and periodic interest
Long-Term IOU whereby the holder (lender or buyer) is promised to receive fixed payments over a pre-specified time period. Corporate bonds are one of the available instruments that companies can resort to for their financing needs.
an IOU from the issuer that entitles the holder to a specified sum of money, usually at regular intervals, and repayment of the principal loan amount when the bond matures.
A certificate of debt issued to raise funds. Bonds typically pay a fixed rate of interest and are repayable at a fixed date.
An instrument which evidences a debt obligation between the Issuer and Investor.
Money borrowed to pay for a school district expenditure. Typically, the money is used for capital expenditures, such as the purchase of buses or the construction or renovation of a building, although in some cases school districts also issue bonds for other large expenditures such as the repayment of back taxes in a certiorari settlement. The goal in borrowing is to spread the cost out over a period of years and lessen the cost to taxpayers in any one year. By definition, a bond is a written promise to pay a specified sum of money, called the face value or principal amount, at a specified date in the future (the maturity date), together with periodic interest at a specific rate.
Bonds are issued to obtain money for permanent capital projects, such as purchasing technology or building a new school. Bonds are a promise to repay a specified amount of principal (face value), plus interest, at a specific time (maturity date). The money to repay the bonds comes from increased property taxes. Bonds are different than operating levies, which apply property tax dollars directly to the district's general fund so they can be used for ongoing operating costs.
Generally speaking, it is an agreement whereby one party, called the surety, obligates itself to a second party, called the obligee, to answer for the default of a third party, called the principal.
Tradable security issued by a public or private company, a group or a government. Bonds carry fixed interest for a specific period and are redeemable on maturity.
A three-party contract in which one party (the surety) guarantees the specific performance of a contract or an agreement between a second party (the principal) and a third party (the obligee). The surety makes the guarantee to the obligee on behalf of the principal.
in criminal court, a term meaning the same thing as "bail;" generally a certificate or evidence of a debt.
A debt security (IOU) issued by a corporation, government, or government agency in exchange for the money the bondholder lends it. In most instances, the issuer agrees to pay back the loan by a specific date and make regular interest payments until that date.
A corporate IOU. A bond is a debt instrument with a maturity at issuance exceeding seven years.
Tradable, short and long-term debt raised by a borrower (corporation or government) who agrees to pay interest at specified rates on specified dates, and to redeem the bonds, in other words repay the principal, on a specified date. Examples are Corporate Bonds, Long-term Government and Corporate Bonds, and International Bonds. As with Bond Funds, the value of individual bonds typically falls when interest rates rise, and rises when interest rates fall. A bond's dividends will vary. Bonds involve risk to principal. Kembali ke top
a promise to repay money borrowed, plus interest, over a specified period of time
Debt instrument issued by corporations, governments and government agencies. The bond issuer commits to paying interest for the duration of the bond on specific dates and to repaying the principal amount at maturity.
A cetificate of obligation or indebtedness.
An agreement to be of good behaviour or a deed (q.v.) under seal in which a person promises to do or to refrain from doing certain things. Sometimes referred to as a recognisance (q.v.). For a description of bonds in a landlord and tenant situation see HOUSING.
A certificate reflecting a firm's promise to pay the holder a periodic interest payment until the date of maturity and a fixed sum of money on the designated maturing date.
A certificate of debt representing an obligation by a corporation or government guaranteeing to pay back money borrowed from the bondholder on a determined date, together with any accrued interest.
A form of debt security a government or corporation issues, promising payment of the original investment plus interest on specified future dates. See also marketable securities.
An insurance agreement by which one party is insured against loss or default by a third party. In the construction business a performance bond ensures the interested party that the contractor will complete the project. A bond can also be a method of financing debt by a government or corporation which is interest-bearing and has priority over stock in terms of security.
A security representing a debt obligation from a government or company. The debt is expected to be repaid in full at the bond maturity date.
(1) Aan insurance agreement by which one is insured against loss by acts or defaults of a third party. In construction, a performance bond insures that the builder will finish his project. The insured could be a lender, purchaser, or other interested party. (2) a method of financing long term debt, issued by a government or private corporation, which bears interest and has priority over stock in terms of security.
A bond is a security which is a long-term contract under which a borrower agrees to make payments of interest and principal, on specific dates, to the holder of the bond. Bonds have priority over equities to earnings and assets in the event of bankruptcy or liquidation.
Fixed-income security maturing in one to three years.
An obligation of the insurance company to protect one against financial loss caused by the acts of another.
Written promise, generally under seal, to pay a specified sum of money (face value) at a fixed time in the future (date of maturity) and carrying interest at a fixed rate, usually payable periodically; often used by school districts to raise construction money.
A medium to long-term investment instrument issued by governments and companies which pays a regular and fixed interest amount for the term of the investment. The invested funds (principal) are repaid at the end of the term (maturity).
A written promise to pay a stipulated sum of money to a specified party under conditions mutually agreed upon. Also called a promissory note, promise, or bond.
written instrument executed by a bidder or contractor (the principal), and a second part y (the surety or sureties), to assure fulfillment of the principal obligation s to a third part y (the obligee or agent identified in the bond. If the principalÍs obligation s are not met, the bond assures payment, to the extent stipulated, of any loss sustained by the obligee. [D03457] GAT
An interest-bearing promise to pay a specified sum of money due on a specific date in the future (maturity date).
A form of debt issued by companies and governments to raise money. It is an agreement under which a sum is repaid to an investor after an agreed period of time.
A certificate that represents an entity's promise to repay a certain amount of money and interest in the future.
A certificate of debt, or IOU, issued by a government or corporation.
An interest-bearing certificate of debt by which the issuer is obligated to pay the principal amount at a specific time and interest periodically.
Debt securities issued by the government, a public organization, a state enterprise, or company or corporation for sale to investors to raise funds directly. Bond holders are ranked as creditor of the issuer and are entitled to interest during the bond's life and principal repayment at maturity.
A written promise to pay money or do some act if certain circumstances occur or a certain time elapses.
security posted to secure bail, usually by a bondsman.
A debt instrument; an obligation to pay; a security issued by a corporation. A written promise the accopmpanies a mortgage and is evidence of the debt secured by the mortgage. An interest-bearing certificate issued by a government to finance public projects. (See security)
an IOU issued by a corporation or government that confirms you are lending the corporation or government money. Bonds pay interest regularly to lenders. At the end of the term of the bond, the borrower returns to the lender the face value of the bond (the amount the lender invested in the bond).
An agreement to pay a certain amount of interest over a given period of time.
An obligation written under seal. For example, the obligation may be to make good if a third party defaults (performance bond), or betrays a trust (fidelity bond) or an obligation to pay interest and principal as specified. The latter type of bond is a debt instrument which may be secured by a mortgage or a pool of mortgages.
A certificate of a debt on which the issuer (usually a government or large corporation) pays a specific amount of interest for a specified length of time and promises to repay the loan to the holder at its maturity. Specific assets are pledged by the issuer as security for the bond.
A debt instrument, normally paying a fixed interest rate or "coupon."
There is more than one type of bond. Insurance bonds are normally three-party contracts in which one party agrees to guarantee the act, performance, or behavior of a second party, to a third party. Two common types of bonds are fidelity and surety.
A debt instrument in which the issuing authority promises to pay the bondholders a specified amount of interest for a specified length of time and repay the principal invested on a given maturity date.
A certificate of debt issued in order to raise funds
A bond is evidence of a debt in which the issuer promises to pay the bondholders a specified amount of interest and to repay the principal at maturity. Bonds are usually issued in multiples of $1,000.
A written promise to pay a specified sum of money, (the face value or principal amount) at a specified date or date in the future (the maturity date), together with periodic interest at a specified rate. The difference between a note and a bond is that a bond runs for a longer period of time and requires greater legal formality.
A debt security issued by a company, municipality, or government agency. The bond issuer promises to pay the bond holder a stated rate of interest up to the date of maturity, when the issuer promises to repay the principal.
A loan to a corporation, government, or government agency in return for regular interest payments. Considered a promise that the issuer will pay back or redeem, the face value of the bond on or before a designated Maturity Date.
Real Estate Bond. An obligation issued on security of a mortgage or trust deed.
debt security issued by such entities as corporations, governments or their agencies (eg. statutory authorities). A bond holder is a creditor of the issuer and not a shareholder.
(1) A formal promise to pay a specified sum of money on a specified future date. A bond may be secured or unsecured, but it must be in writing, contain a specified maturity, and specify any interest to be paid. (2) The binding force preventing delamination, as the glue between wood in a laminated beam.
a long-term contract that requires a government or company to pay a set interest rate and repay the investor's principal at the particular time.
Basically, a bond is an IOU from a company, governmental entity or other issuer promising to repay a given amount by a given date. Usually, interest is paid. Bonds represent debt, as opposed to stocks, which represent an ownership stake. Bonds usually can be bought and sold, just as stocks can be, and their prices fluctuate based on interest rates and the creditworthiness of the issuer, among other factors.
Usually issued by governments, companies or official bodies (eg local authorities). They normally pay a fixed rate of interest and mature on a fixed date when the capital will be repaid. Bond prices fluctuate between issue and maturity. See also Corporate bonds and Gilts.
A debt security greater than one year wherein an issuer contracts to pay the owner a fixed principal amount on a stated future date. Typically, there are also interest payments over the life of the bond.
A type of security that pays a fixed amount of interest at a regular interval over a certain period of time. Bonds are considered less risky investments than stocks. When interest rates are rising, bond prices go down; when rates are falling, bond prices rise.
in general, a written obligation to pay or perform something; a bond of corroboration is an additional confirmation by a debtor of his original debt (for example to the ancestor of the obligor); a bond of caution is an obligation by one person to act as security or surety for another; a bond of relief is an undertaking to relieve such a cautioner from his obligation; a bond of disposition in security was the commonest form of heritable security in the 19th century, combining a personal bond by the borrower with a disposition of the lands on which the sum was secured. Most unusual was the bond of manrent, an obligation by a free person to become the follower of someone who could protect him, who would in turn, undertake to support and maintain him
A debt instrument which pays back cash to the holder at regular frequencies. The payment is normally a fixed percentage, known as a coupon. At maturity, the face value of the bond is paid.
long term debt instrument usually with fixed interest payments and a date of maturity.
A financial guarantee by a surety company that work will be completed as described in a contract.
An IOU issued by a corporation, the U.S. Government, or a municipality that is held by the lender as receipt that the business or institution has borrowed a specific amount of money. All bonds pay interest quarterly, semi-annually, or anually and are payable in full at a specified date written on the bond.
An IOU issued by a corporation, government agency, or municipality. In purchasing a bond, you lend money to the issuer of this investment vehicle. In exchange, the issuer pays you interest, a fixed income at regular intervals for a fixed time until maturity of the bond, and then repays the loan at the bond's maturity at a pre-agreed maturity date. The principal types of bond are: Corporate bonds Foreign bonds Government agency bonds Municipal bonds U.S. government bonds
A debit security that bears interest and promised repayment.
A certificate of debt in which the issuer (borrower) promises to pay the bondholder (creditor) a specified amount of interest for a specified time period and to repay the debt at maturity. Obligations that are due in more than one year are classified as bonds whereas if the debt is for less than one year, it is called a "note". Bondholders are creditors of the issuer and they do not have ownership privileges. A bond may be registered either by issuing certificates in the bondholder's name, book-entry or in bearer certificates. There are many different kinds of bonds and different methods of evidencing bond ownership. The most common types are: Secured bonds are backed by collateral that may be sold if the issuer fails to pay interest and principal when they are due. Unsecured bonds or debentures are only backed by the full faith and credit of the issuer. There is no specific collateral. Convertible bonds give holders the right to exchange the bonds for other securities of the issuer at a future date, under prescribed conditions.
A long-term promissory note in which the issuer agrees to pay the owner the amount of the face value on a future date and to pay interest at a specified rate at regular intervals.
Usually a fixed-interest security under which the issuer contracts to pay the lender a fixed principal amount at a stated date in the future and a series of interest payments, either semi-annually or annually. Interest payments may vary throughout the life of the bond.
Capital instrument issued by government or private corporation. Redemption may be linked to an event (eg. CAT bond)
An interest-bearing or discounted corporate or government security that obliges the issuer to pay a fixed dollar amount, the principal, on a fixed date in the future, the maturity date. Bullet Bond: A bond in which all principal is paid at maturity.
Technically a certificate of debt issued to raise funds, often with a fixed rate of interest and fixed repayment date. An example is gilt-edged securities ('gilts') issued by a government to borrow from investors via the stock market (also known as fixed interest securities). The term 'bond' can also refer to an investment product issued by a company.
Essentially an IOU. When you buy a bond, you are lending money to its issuer – either a company or the government, federal, state, or municipal, which agrees to pay it back with interest on a certain date, called the maturity date. Bonds are less safe than bank accounts or money market funds but generally safer than stocks.
a form of investment offered by insurance companies which will be paid back at maturity as a lump sum with interest.
Bonds are IOUs with three elements: face value (the value of the bond when it matures); maturity (the date when the holder gets the face value of the bond); and a coupon rate (the interest payment made to the bondholder by the issuer for use of their money).
(1) A written agreement purchased from a bonding company that guarantees a person will properly carry out a specific act, such as managing funds, showing up in court, providing good title to a piece of real estate or completing a construction project. If the person who purchased the bond fails at his or her task, the bonding company will pay the aggrieved party an amount up to the value of the bond. (2) An interest-bearing document issued by a government or company as evidence of a debt. A bond provides pre-determined payments at a set date to the bond holder. Bonds may be "registered" bonds, which provide payment to the bond holder whose name is recorded with the issuer and appears on the bond certificate, or "bearer" bonds, which provide payments to whomever holds the bond in-hand. Bridge Loan An interim (short term) loan offered by a lender for the purpose of securing the cash for the down payment and closing costs needed to purchase a property while another property having the equity to cover such expenses is listed for sale. Generally, this loan is offered at a much higher interest rate, and is for a period not to exceed 12 months.
A debt security whereby the bond issuer promises to pay the bondholder a stated rate of interest over a specified period of time, at the end of which time, the original amount of borrowed money must be repaid. The owner of the bond is known as the bondholder. The entity that sells the bond to raise money is known as the bond issuer.
1) Any debt security, such as an IOU or a corporation promissory note. 2) A debt security with a maturity of more than 7 to 10 years. Used in distinction to note, a debt security with a shorter time to maturity. Often an issuer will describe a debt security as a bond that other issuers would call a note. 3) Money or property deposited as a pledge of good faith. 4) Usually, bonds are secured by a mortgage. 5) Oneâ€(tm)s word given as a pledge of future performance. For example, “My word is my bond.
A fixed income debt security. Bonds may be issued by corporations or governments (both federal and municipal), and pay a set amount of interest, payable on a predetermined schedule over a predetermined number of years, until maturity. At maturity, the bond issuer repays the principal amount of the debt obligation, usually denominated in $1000 increments. Bonds are generally issued with maturities from one to 30 years. Bondholders are creditors of the issuer.
promissory note, which is a signed agreement promising payment of a sum of money on demand or at a particular time; a certificate promising payment of a debt.
A legally enforceable obligation to pay specified sums of money at specified future dates.
A certificate of debt issued by a government or corporation guaranteeing payment of the original investment plus interest by a specified future date. Budget A statement of anticipated income and expenses for a specific period of time.
Bonds represent the borrowing of money by a corporation or government. The bond is a legal obligation of the company or government to repay principal at the maturity of the bond. Bonds are issued with a par value ($1,000) representing the amount of money borrowed by the company. The issuer promises to pay a percentage of the par value as interest on the borrowed funds.
A security that represents a loan investors make to corporations and/or governments. A bond pays a stated return over a fixed period of time.
a written promise of payment by a corporation or government at the end of a specific time period. Bondholders receive interest on the amount they have loaned. Capital gains and losses can also occur.
A debt or a loan. An IOU note that lists the value of the original loan, the amount of interest to accrue, and the date the entire loan will be paid off. Bonds can come from government agencies or corporations looking to raise money.
Issued by companies to raise finance. Bonds pay interest to their holders, rather than dividends.
In general terms, a bond is a statement of debt with a medium to long term to maturity at the time it is issued. The holder of a bond is a lender to the issuer. As such, the statement gives the issuer an obligation to provide the holder with an income payment and/or a stream of income payments over the life of the bond and to repay the principal. The risk that the issuer cannot fulfil their obligation varies from issuer to issuer and over time.
A promise to repay a specified sum of principal on a stated date with interest. allable Bond: A bond that the issuer is able to redeem, usually at a premium, prior to the maturity date. Typically the first call date is ten years from the issuance date.
Bonds are debt and are issued for a period of more than one year. The U.S. government, local governments, water districts, companies and many other types of institutions sell bonds. When an investor buys bonds, he or she is lending money. The seller of the bond agrees to repay the principal amount of the loan at a specified time. Interest-bearing bonds pay interest periodically.
A loan in which the lender provides a certain amount of money (capital) to a company or government, in exchange for regular interest payments and repayment of the principal after a specified number of years. Bonds are often bought and sold like stocks.
In order to be appointed guardian, a court will frequently require that a guardian acquire a form of insurance, known as a surety bond, to protect the assets of the ward in the event of financial mismanagement or theft.
A financial obligation for which the issuer promises to pay the bondholder a specified stream of future cash flows, including periodic interest payments and a principal repayment.
A bond is a long term debt. This a loan to a company or government in return for a fixed level of income (coupon) and a guaranteed return of the investment at the end of the bond's life (known as 'the maturity date'). There is a range of different bond types available, offering different dates to maturity. The advantage of bonds over shares is that bondholders are ahead of shareholders in receiving payment if the underlying company goes bust. Although the maturity price ( redemption price) and income level is fixed, the market prices of bonds can rise and fall just like shares. Prices of the bond are determined greatly by interest rates and inflation forecasts. For example if inflation is likely to increase, the fixed income will be worth much less as time goes by therefore, the price paid for the bonds in the open market will be less to compensate for this. Overall, the long-term return on bonds is lower than that achieved by shares but, bonds are useful for boosting income in retirement.
An IOU from a government or corporation that promises to pay interest in return for the use of money, usual y a secure investment.
A bond is an issuance of debt by the government or a corporation. It basically is an IOU which states that if an investor lends money to the Government or a Corporation now, then they will pay your money back at a stated time in the future while making small interest payments to you along the way. There are many different types of bonds.
Long-term debt instrument in which the issuer (debtor/borrower) promises to repay to the lender/investor the amount borrowed plus interest over some specified period of time.
A long-term certificate of debt issued by a government agency or private company. A bond represents an obligation on the part of the issuer to pay interest and repay principal of a loan.
Usually refers to a signed instrument whereby the signer promises to pay a certain amount of money if he does, or fails to do, some particular act. EXAMPLE: See APPEARANCE BOND.
Also known as "bail." An amount of money, determined by the Court, that if posted (paid) or promised by signature, allows the release of a defendant from jail before criminal court proceedings. Its purpose is to ensure the appearance of the defendant at the upcoming court proceedings. The court can add certain conditions that must be followed if the offender is released on bail/bond. If the offender does not appear in court and/or does not follow the conditions of bail/bond set by the Court, the offender can lose ("forfeit") the bail/bond money. to top
interest-bearing government or corporate issue wherein a preset price is paid along with the principal amount at maturity.
(Obligation) Loan made by an investor to an issuer, in consideration for security provided through a trust indenture. In the case of a traditional bond, the issuer agrees to make regular interest payments and to redeem the principal at maturity.
A security issued by a borrower as receipt for a loan longer than 12 months, indicating a rate of interest and date of repayment. Bonds are sometimes referred to as Fixed Income
a financial instrument that, in return for the loan of funds, commits its seller to pay a fixed amount every year (called the coupon amount), as well as repay the amount of principal (the bond's face value) on a particular date in the future (called the maturity date)
Contract by which a person (guarantor) personally guarantees or promises certain goods of their own to guarantee completion of another personâ€(tm)s obligation in front of a third party (creditor). In the case of the debtor defaulting the creditor can claim from the guarantor.
Agreement to pay a sum of money if certain conditions are not met (often to pay a lesser sum of money or perform certain covenants in a deed).
A formal certificate of debt of a corporation or unit of government. The certificate issuer agrees to pay a specified, fixed interest until the maturity of the bond when the borrower must pay back the money the certificate represents.
A government or corporate security that obligates the issuer to pay bond investors a specified sum of money on a specified date. In addition, the issuer agrees to pay a percentage of the bond value (also called par value or face value, usually $1,000) as interest on the borrowed funds.
Basically an IOU or promissory note of a corporation, municipality, or the U.S. Government. They are usually issued in multiples of $1,000 or $5,000. A bond is evidence of a debt on which the issuer usually promises to pay the bondholder a specified amount of interest for a specified length of time and to repay the loan on the expiration date. In every case, a bond represents debt. Its holder is a creditor of the issuer.
An instrument of debt issued by a corporation or government entity to raise capital. Bonds are interest bearing and promise to pay the holder a specified sum of money at maturity plus interest on the principal face amount at given intervals.
A loan to a company or the government, which is payable at the end of a stated period. In return, the bond buyer is usually entitled to fixed payments on a regular basis until the bond comes due.
A certificate issued by a corporation or government stating the amount of a loan, the interest to be paid and the time for repayment.
A debt instrument issued by a corporation, government, government agency or municipality. The issuer receives the face amount (the amount borrowed) upon issuance and agrees to repay the amount at a specified date. To compensate the lender, the issuer pays periodic interest payments based on the bond's coupon rate.
A type of long-term debt instrument that promises to pay the holder of the bond a specified amount of interest and return the principal amount on a specified bond maturity date.
An interest-bearing promise to pay a specified sum of money - the principal amount - due on a specific date.
A bond is an amount of money which secures a contractor's license with a certified governmental agency. A bond can be used to pay unpaid bills held by the contractor, or as a guarantee or contingency that a project will be completed as planned.
A debt instrument issued by a company, city, or state, or the U.S. government or its agencies, with a promise to pay regular interest and return the principal on a specified date.
A loan that investors make to a corporation or a government, which will normally pay interest on a regular basis. At the end of the term the principal will be repaid to the lender. It is usually a conservative investment as part of a low risk, long term investment plan. It usually pays a fixed rate of interest for a term, or sometimes floating rate of interest tied to another rate such as the bank rate or prime rate.
A debt security issued by governments or corporations. It is a promise by the issuer to pay the face value of the bond at maturity, as well as interest payments at regular intervals.
A debt security, or IOU, issued by a company, municipality, or government agency. A bond investor lends money to the issuer and, in exchange, the issuer promises to repay the loan amount on a specified maturity date; the issuer usually pays the bondholder periodic interest payments over the life of the loan.
A boring investment. They don't even have 4 letter symbols! They work like this – you give the company $1,000 for the bond and they promise to pay you back $1,000 at a specified time in the future – 5 yrs, 10 yrs, even 20 yrs! What is the big deal?! Who would want that
A loan of money from an investor to a government or a business, which carries the government's or business's promise that the loan will be repaid with a specified amount of interest.
A certificate received for a loan made to a company or government. In return, the issuer of the bond promises to pay the lender interest at a set rate and to repay the loan on a set date.
A debt asset that an investor (lender) purchases from the government, semi-government, or a company (borrower) in return for cash. The borrower uses the investor's money, issues the investor with a bond as proof of the loan, and, subject to any specific payment terms, pays interest and principle back to the investor in return for the loan.
A form of IOU issued by a company, a government or a major international financial body. Bonds normally pay a fixed rate of interest over several years when they are repaid at their original issue or initial price.
Security issued in series, in which the issuer states that it is debt to the bond owner (bondholder) and undertakes to pay the bondholder a specifiedsum of money, usually at specified intervals, and to repay the principal of the loan at maturity. A convertible bond gives its owner the right to exchange it for other securities of the issuing company at some future date, and under prescribed conditions.
A debt instrument that is a "promise to pay" issued by corporations, federal and state goverments, and municipalities to raise capital. The bond issuer promises to pay the holder of the bond the principal amount of the loan when the bond matures and a fixed rate of interest periodically during the term of the bond.
A written agreement that is designed to protect the assets of the estate. A bond is issued by a licensed bonding company and the cost of the bond is payable from the estate.
A written promise to pay a specified sum of money at a specified date or dates in the future together with interest at a specified rate. Bonds are typically of longer term an are more formal than notes.
A note obliging a corporation or governmental unit to repay, on a specified date, money loaned to it by the bondholder. The holder receives interest for the life of the bond. If a bond is backed by collateral, it is called a mortgage bond. If it is backed only by the good faith and credit rating of the issuing company, it is called a debenture.
Debt certificates issued by corporations or governments for the purpose of borrowing money from the public.
A certificate which is evidence of a debt in which the issuer promises to repay a specific amount of money to the bondholder, plus a certain amount of interest, within a fixed period of time.
A debt obligation that represents a promise the issuer makes to the buyer to pay a specified amount at a future date, along with interest for the interim. Examples include government treasury bonds and corporate debt security bonds which obligate the issuer to pay a specified sum of money, usually at specific intervals, and repayment of the principal amount of the loan to the bondholder at maturity.
A written promise to repay a debt at an agreed time and an agreed rate of interest.
An obligation under seal. Real estate bonds are isssued on the security of a mortgage or deed of trust. A certificate representing a contract for the payment of money, often used to repay certain loans or held as security to ensure the performance of a stated act. Back to the Top
A long-term debt secured by a mortgage on real property or a lien on other fixed assets.
A policy where one party, called the surety, obligates itself to a second party, called the obligee, to answer for the default of a third party, called the principal.
Basically an IOU or promissory note of a corporation, usually issued in multiples of $1,000 or $5,000, although $100 and $500 denominations are not unknown. A bond is evidence of a debt on which the issuing company usually promises to pay the bondholders a specified amount of interest for a specified length of time, and to repay the loan on the expiration date. In every case a bond represents debt - its holder is a creditor of the corporation and not a part owner as is the shareholder. (See: Collateral, Convertible, Debenture, General Mortgage Bond, Income Bond)
a long-term (ten to thirty years maturity) debt instrument that pays a fixed amount of interest every six months and will pay the face value of the bond (usually $1,000) at maturity.
the annual agreement of specifying the conditions upon which the parties are hired.
A bond is an instrument in which the issuer (debt or/borrower) promises to repay to the lender/investor the amount borrowed plus interest over some specified period of time. The issuer may be a corporation or government. The interest is usually paid at specified intervals, such as semi-annually or quarterly. When the bond matures, the investor receives the entire amount invested, or the principal. If the bond is cashed in before it matures, a penalty may be assessed. Once issued, bonds can be traded like any other security.
A debt instrument; a security that represents the debt of a corporation, a municipality of the federal government, or any other entity. A bond is usually long-term in nature (10 to 30 years).
A written obligation to pay a sum or to perform a contract / An undertaking by a surety to pay compensation or a penalty if the person guaranteed by the bond fails to fulfil some legal obligation / A single-premium life assurance policy.
A bond is a way for a company or government to borrow money. It sells the bond for a period of time, at least a year, and pays interest until the time is up. Then the person who bought the bond gets their money back plus the interest they've earned. One of the most common bonds is a Savings Bond sold by the United States Government. Savings Bonds can be purchased at any bank for as little as $25.
See Fidelity Bond and Surety Bond.
a debt obligation, in which the issuer agrees to pay the bond-holder (investor) principal and interest over a set period of time (maturity)
A debt security issued by a government or corporation that pays the bondholder a stated rate of interest and repays the principal at the maturity date.
A form of investment that behaves like an interest only loan. The investor buys the bond for some amount, receives interest-only payments over time, and then receives the initial investment plus the final interest installment at the end of the term. Bonds are a typical means for government units to raise needed capital. Revenue bonds are secured by future revenue generated from the activity being funded, whereas general obligation bonds are secured by the issuing entity’s ability to tax. [
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A debt security that obligates the issuer to pay the bondholder a stated rate of interest over a fixed period of time and repay the principal amount of the security at maturity.
A debt security that represents the obligation of the issuer to pay interest to the creditor or bond holder and return the principal at maturity. Bonds backed by collateral are termed secured while those that are not secured are called debentures. A sinking fund bond obligates the issuer to set aside some of its earnings to retire bonds periodically. A bond is usually identified by its maturity date and its coupon rate, which is the interest rate stated on the bond. The price of the bond is equal to its face value when issued, which is called the par price. After that, the price fluctuates in the market. Bonds selling above original price are selling at a premium to par while those selling below original price are selling at a discount to par. Prices vary inversely with interest rates, as the prices of old bonds must adjust so that their current yield will stay competitive with those of newly issued bonds. A bond does not represent ownership. See Baby Bond, Callable, Junk Bond, Municipal Bond, US Gov't Issues, Zero Coupon Bond, Convertible Bond, Corporate Bond.
A certificate of debt issued by a company, government, or other institution. A bondholder is a creditor of the issuer and receives interest at a rate stated at the time of issue.
A debt instrument that pays a set amount of interest on a regular basis. The issuer promises to repay the debt on time and in full. Bonds are bought and sold on the market.
A long-term debt instrument in which the issuing concern (usually a corporation or government body) is obligated to repay the debt on a given date, and must pay interest on the debt throughout the term of the bond. For example, a corporation may issue 10-year bonds to finance an expansion project, paying its bond investors a preset rate of interest each year, and repaying the original principal when the bonds mature after 10 years. Interest is usually paid semi-annually.
an investment in which a government or company promises to repay money borrowed from investors at a specified time and to pay interest at a specified rate
An IOU or promissory note of a corporation, municipality, or the U.S. government, usually issued in multiples of $1,000 or $5,000, with maturities of more than 10 years.
An individual guarantee of performance. The insurance company is the surety which guarantees that the fiduciary will perform or the insurance company will be liable.
When you invest in a bond you are loaning money to an institution (a company, agency, or a municipality) that issues the bonds. The maturity date dictates when you will receive back your principal, the initial amount of money you invested. Bondholder also receives interest at specified dates. Bonds are sometimes referred to as “fixed-income.
or recognisance. A legal document recording an obligation to pay a sum of money, or acknowledging a present or future debt.
A formal certificate of debt, usually issued by corporations or units of government.
A certificate that serves as evidence of a debt and of the terms under which it is undertaken.
A security that obligates the issuer to pay interest at specified intervals and to repay the principal amount of the loan at maturity. In insurance, a form of suretyship. Bonds of various types guarantee a payment or a reimbursement for financial losses resulting from dishonesty, failure to perform and other acts.
A certificate of debt issued by governments and companies as a means of raising capital which entitles the holder to a fixed-rate of interest and is repayable, with or without security, on a specified maturity date.
A written guarantee that an Executor, Administrator, Trustee, Conservator or Guardian will perform their duties as required by law. The bond may be with or without surety. The bond will have a dollar penalty amount which may have to be paid if duties are not performed as required by law.
Similar to an IOU, bonds are generally a medium to long-term fixed interest debt security commonly issued by Commonwealth and State Governments and corporations to raise funds. They are issued by the borrower at a specified interest rate and repaid after a set period.
A certificate in a debt usually issued for a period of more than one year. The federal government, states, cities, corporations, and many other types of institutions sell bonds to raise capital. A bond is generally a promise to repay the principal, along with interest, on a specified date or at its “maturity.
a long-term debt instrument, which pays a set rate of interest until maturity, and which pays the face value at maturity
A City may raise capital funds by issuing a written promise to pay a specified sum of money, called the face value or principal amount; at a specified date or dates in the future, together with the periodic interest at a specified rate.
A certificate representing debt owed by companies to investors that pays a stated rate of interest and returns the face value to the investor on the maturity date.
A certificate representing creditorship in a corporation and issued by a corporation to raise capital. The company pays interest on a bond issue at specified dates and eventually redeems it at maturity, paying principal plus interest due.
An IOU issued by a corporation, municipality or government agency. A bond issuer is borrowing money from you and other members of the public and, in exchange, promises to pay interest at regular intervals until the bond matures, at which time investors receive their principal back.
An investment vehicle representing a loan to a corporation, government, or municipality. Generally, bonds pay a fixed interest rate and return the principal investment at maturity. Bonds issued by the U.S. government are guaranteed; other bonds are not guaranteed and carry varying degrees of credit risk.
a bond issued by a public agency authorized to build, acquire, or improve a revenue-producing property (as a toll road) and payable out of revenue derived from such property
The debt instrument (or "IOU") of a corporation or government entity that promises to pay you a specified amount of interest for a specified time period, with principal to be repaid when the bond matures. Investment risk is low to moderate for government bonds and moderate to high for corporate bonds.
Certificate or evidence of a debt; written commitment to pay a certain sum if particular conditions are not met.
Can refer to a range of products. The term "bond" is most widely used to refer to the fixed-interest securities issued by governments and companies.
U.S. Customs entries must be accompanied by evidence that a surety bond is posted with Customs to cover any potential duties, taxes and penalties which may accrue. In the event that a customs broker is employed for the purpose of making entry, the broker may permit the use of his or her bond to provide the required coverage.
A certificate issued by a government or a public company promising to repay borrowed money at a fixed rate of interest at a specified time.
a company’s debt that is based on an agreement called an indenture.
(1) An insurance agreement under which one party becomes surety to pay, within stated limits, financial loss caused to another by specific acts or defaults of a third party. (2) An interest bearing security evidencing a long term debt, issued by a government or corporation, and sometimes secured by a lien.
A contract between a borrower and a lender in which the borrower promises to pay a specified rate of interest for each period the bond is outstanding and repay the principal at the maturity date.
One type of long-term PROMISSORY NOTE, frequently issued to the public as a SECURITY regulated under federal securities laws or state BLUE SKY LAWS. Bonds can either be registered in the owner's name or are issued as bearer instruments.
A debt contract, bearing interest, which promises to pay a principal amount due on a specific date.
A note that a government or corporation gives an investor, which promises to repay the borrowed amount plus interest on a specific date. Bonds help finance large, expensive projects, such as building new bridges or highways. When you buy a bond, the seller agrees to repay the bond principal to you when it matures, and to make interest payments. The longer the bond takes to mature, the higher the interest payments since there is more risk at stake. If you are looking to raise money for a down payment, you might want to consider investing in short-term bonds since they have a low risk factor.
Three-part contract guaranteeing that if one person, the principal obligor, fails to perform as specified or proves to be dishonest, the person to whom the duty is owed, the obligee, will be financially protected by the issues of the bond, the surety.
A long-term debt obligation that is collateralized by specific assets.
An interest bearing or discounted security that obligates the issuer to pay the holder a specified amount of money. Can also be money or securities deposited as a pledge of good faith
Basically an I.O.U. or promissory note of a corporation or municipality, usually issued in multiples of $1,000 or $5,000. A bond is an evidence of debt on which the issuing company usually promises to pay the bondholder a specified amount of interest for a specified length of time, and to repay the loan on the expiration date. A bondholder is a creditor of the corporation, not a part owner as is the shareholder. While the interest paid on corporate bonds is fully taxable, the interest on municipal bonds is usually exempt from federal income tax and state and local taxes within the state of the issue.
A legal document that is a promise to repay borrowed principal along with interest on a specified schedule or certain date (the bond's maturity ). Federal, state, and local governments, corporations , and other types of institutions raise capital by selling bonds to investors .
a special type of "loan" that provides funding for capital projects. Local governments are prohibited from borrowing funds to cover standard operating expenses.
A security that obligates the issuer to repay the principal amount upon maturity. Coupon bonds require the issuer to make specified interest payments over specified time intervals to the bondholder. Zero-coupon bonds allow the issuer to accrete all interest and to pay the entire obligation (principal + accrued interest) upon maturity. A bond issuer can be a corporation or a governmental entity. A bond is a debt obligation; and the bondholder is a lender to the issuer. A bondholder normally has no ownership position.
A piece of paper that is a legal document, such as a certificate. It contains a promise to repay money that you or someone has borrowed, along with interest. Governments, corporations, small businesses, and other kinds of institutions raise money by selling bonds to investors.
A certificate of indebtedness issued by a governmental unit or a corporation, promising to repay borrowed money to the lender at a fixed rate of interest and at a specified time. View LEI Lesson(s) that address this term
An interest-bearing certificate of debt with a maturity date. An obligation of a government or business corporation to pay interest and principle to bond holder.
A debt instrument that pays a set amount of interest on a regular basis. The amount of debt is known as the principal, and the compensation given to lenders for making such funds available is typically in the form of interest payments. There are three major types of bonds: corporate, government and municipal. A corporate bond with a low credit rating is called a high-yield or junk bond.
a debt instrument issued by entities (such as the federal government, states, cities, corporations, and many other types of institutions) for the purpose of raising capital with a promise to repay the principal along with interest on a specified date (maturity)
A long-term debt instrument with the promise to pay a specified amount of interest and to return the principal amount on a specified maturity date.
A certificate of debt, generally long term, under the terms of which an issuer contracts, amongst other things, to pay the holder a fixed principal amount on a stated future date and, usually, a series of interest payments during its life.
A written agreement in which one party, the surety, guarantees the performance or honesty of a second party, the principal (obligor), to the third party (obligee) to whom the performance or debt is owed.
An interest-bearing security that obligates the issuer to pay a specified amount of interest for a specified time, usually several years, and then repay the bondholder the face amount of the bond.
A financial instrument representing a debt where the issuer (corporation or government) promises to pay to the holder a specific rate of interest over the life of the bond. On the bond's maturity date, the principal is repaid in full to the holder.
Any interest-bearing government or corporate security that requires that the issuer will pay the holder of the bond a specified sum of money, usually at fixed intervals, and will repay the principal amount of the loan at maturity. A secured bond is backed by collateral, whereas as an unsecured bond or debenture is backed by the full faith and credit of the issuer, not by any specified collateral.
General term for interest-bearing securities. Bonds securitize creditor rights. Usually they guarantee the owner a fixed rate of interest and the redemption of a particular sum. Distinctions are made between bonds according to issuers (e.g. public bonds, corporate bonds), interest (fixed/variable interest), duration (short/long-term), redemption (due en bloc/redeemable), registered domicile of the issuer (domestic/abroad) and currency (e.g. euro/dollar).
A bond is a debt instrument issued for a period of time with the purpose of raising capital by borrowing from purchasers. When you purchase a bond, you are essentially lending the issuing party your money. The bond you purchased represents a promise by the issuing party to repay the amount of the bond (principal) by a certain date (maturity). Most bonds are interest bearing and pay the interest periodically. Government, municipal, and corporate bonds are all available through Qtrade Investor.
Also called a fixed-income security, a bond is a loan you make to a corporation or government. In return for your capital, the issuer agrees to pay back the principal on a certain date and also makes periodic fixed interest payments over the life of the loan. back to the top
An interest-bearing certificate issued by a government or a business promising to pay the holder a specified sum on a specified date. A bond is a common means of raising capital.
A bond is a contract in which an issuer undertakes to make payments to an owner or beneficiary when certain events or dates specified in the contract occur.
A fixed income debt security, in which the holder is owed the bond’s face value as principal and is paid a steady rate of interest on that amount. Bonds are generally sold in multiples of $1,000 with maturities from one to 30 years. Bond prices rise when interest rates fall and vice versa. Numbers I-Q R-Z cafeteria plan A written plan under which all participants choose among two or more benefits that consist of cash and certain qualified benefits, including cash or deterred arrangement (COLA). Also referred to as a Section 125 plan.
Debt security or IOU issued by a government entity or corporation, which generally pays a stated rate of interest, and plans to return the principal amount of the loan on the maturity date. Unlike stockholders, bondholders do not have corporate ownership privileges.
A debt security issued by a corporation, government, or government agency obligating the issuer to pay interest periodically and repay the principal at maturity.
An interest-bearing debt security issued by a government or a corporation. The bondholder receives a specific amount of interest for a specified time, usually several years, and then redeems the face value of the bond on the maturity date.
A long-term debt of a firm.
Bonds are financial instruments of debt. An issuer borrows money from an investor and agrees, by written contract, to repay the amount borrowed plus an agreed upon rate of interest at a specified date (maturity date). The amount borrowed or the amount of the bond is called the principal. The interest on the bonds is simply referred to as the interest. Interest and principal together are know as debt service. Generally bonds are sold in amounts of $5,000 or $1,000 or integral multiples thereof. For more information see our Bonds Fact Sheet.
A bond is any interest-bearing or discounted government or corporate security that obligates the issuer to pay the bondholder a specified amount of interest at regular intervals and to repay the principal amount at maturity. There are many different kinds of bonds; however, the most common types are "secured," "unsecured" and "convertible." Secured bonds are backed by collateral that may be sold by the bondholder to satisfy a claim if the bond's issuer fails to pay interest and principal when the bonds are due. Unsecured bonds are not backed by any collateral. Convertible bonds give the owners the right to exchange the bonds for other securities of the issuer at some future date and under prescribed conditions.
A debt instrument issued for a period of more than one year with the purpose of raising capital by borrowing. The Federal government, states, cities, corporations, and many other types of institutions sell bonds. A bond is generally a written promise to repay loan at a specified interest rate. Bonds are considered less risky investments than stocks. A bond's rating is like a person's credit rating. It gives you an idea of whether the company that issued the bond will be able to make its loan payments. When interest rates rise, bond prices fall; when rates are falling, bond prices raise.
Also known as a fixed-income security, a bond is an agreement to repay the investor the amount loaned (the principal) on a specific date and to make periodic fixed payments (interest) to the investor until the loan is repaid.
Roughly the same as promissory note, a written promise to repay a loan, often with an accompanying mortgage that pledges real estate as security.
A debt instrument, issued for a period of at least one year that pays a fixed rate of interest for a specific period. A bond is an IOU from a corporation or government entity. Corporations and governments borrow money from investors by issuing bonds. Bonds represent debt, as opposed to stocks, which represent ownership in a company. Usually, the principal is repaid at the maturity date.
A tradable debt security used to raise money. Holders of bonds have lent money for which they receive a fixed rate of interest over a set period of time. The bonds are repaid with interest on the predetermined maturity date. Bonds can be traded on the sharemarket.
A written promise that accompanies a mortgage and is evidence of the debt secured by the mortgage.
1) an interest-bearing certificate of debt, usually issued by a government or corporation, by which the issuer obligates itself to pay the principal amount at a specified time and to pay interest periodically (2) A legal contract by which an insurance company agrees to pay, within stated limits, for financial loss caused by the default or dishonest acts of a third party
A debt obligation, often secured by a mortgage on ... Add a comment
A bond is like a loan. When a government or corporation wants to borrow money for a long period of time, it will usually issue multiple bonds for pre-set amounts. The sum of all of these bonds equals the amount of money the government or corporation wants to borrow. The amount of the bond is called the principal. When a person purchases a bond, and bonds can only be purchased in the amount of the principal, it's as if that person has loaned money to the government or corporation that issued the bond, also known as the bond issuer. The bond issuer agrees to pay the lender, or bond holder, a fixed rate of interest until the date that the issuer is supposed to pay back the principal. This rate of interest is called the bond's coupon rate.
A bond is essentially a loan made by an investor to a division of the government, a government agency, or a corporation. The bond is a promissory note to repay the loan in full at the end of a fixed time period. The date on which the principal must be repaid is the called the maturity date, or maturity. In addition, the issuer of the bond, that is, the agency or corporation receiving the loan and issuing the promissory note, agrees to make regular payments of interest at a rate initially stated on the bond. Interest from bonds is taxable based on the type of bond. Corporate bonds are fully taxable, municipal bonds issued by state or local government agencies are free from federal income tax and usually free from taxes of the issuing jurisdiction, and Treasury bonds are subject to federal taxes but not state and local taxes. Bonds are rated according to many factors, including cost, degree of risk, and rate of income.
Is an investment where the investor (or issuer) will loan an amount of money to a company or government. The company or government will then borrow this money for a pre-determined amount of time and repay or compensate the issuer at a specified interest rate. The investor will receive the bond or certificate for issuing the bond.
A long-term obligation of the U.S. Treasury (more than 10 years' maturity). See also bill and note.
a debt security issued by a company or a government
An instrument that binds or obligates a person to pay a specified amount of money to another person.
a stable balance of attractive to repulsive forces (i.e. field particle exchange) that function to hold together associations of matter (as human molecules) over specified periods of time.
A written financial obligation, usually secured by a mortgage or a deed of trust, and often posted with the Court, to guarantee against loss incurred with a potential claim
A written instrument issued on security of a loan or trust deed.
An investment certificate issued by a government or company bearing a specific interest rate over a fixed period of time. Bonds are generally issued for a fixed term (the maturity) longer than one year. · See Also · Canada Savings Bond · Canada Premium Bond
A certificate indicating ownership of debt, giving details of the key terms of the underlying loan. Bonds are usually tradeable. See also Debenture.
In a criminal action, an obligation, sometimes referred to as a bail bond, assumed by a surety on behalf of a criminal defendant to ensure the appearance of the defendant in court at a future date.
An instrument that evidences long-term debt. The issuer (a corporation, unit of government, or other legal entity) promises to repay the stated principal plus interest on a specified date. Bonds may be registered (identifying the holder) or payable to bearer (not identifying the holder).
Instrument traded on the cash market representing a debt of the government or of a company.
A three party contract that guaranteeing that if the principal fails to perform as obligated to, the obligee (person whom duty would be owed), will be financially protected by the issuer of the bond. We can assist you with your bond needs.
An interest-bearing instrument issued by a corporation or other entity that serves as evidence of a debt or obligation.
In finance, a bond is a debt security, in which the issuer owes the holders a debt and is obliged to repay the principal and interest (the coupon) at a later date, termed maturity. Other stipulations may also be attached to the bond issue, such as the obligation for the issuer to provide certain information to the bond holder, or limitations on the behavior of the issuer. Bonds are generally issued for a fixed term (the maturity) longer than ten years.