corporate bond

Business debt instrument

A corporate bond is a debt security issued by a company to raise capital.

The bondholder lends money to the corporation in exchange for regular interest payments and return of principal at maturity.

Corporate bonds typically offer higher yields than government bonds but carry more risk: She shifted her portfolio toward investment-grade corporate bonds.

Related

yield curve · fixed income · securitization · coupon · secondary market · issuer · portfolio · underwriter · AAA · callable · creditworthy · interest · principal · prospectus · redemption · Wall Street · maturity · debt

Categories
Opposites
issuer type

corporate bondgovernment bond

State-issued debt certificate

municipal bond · T-bill · gilt · sovereign debt · Treasury note

security type

corporate bondcommon stock

Basic corporate ownership units

preferred stock · shares · equity · stock certificate

Family

bond, corporation, incorporate, corporate, corporeal, incorporation, incorporated, corporations, incorporating

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