corporate bonds
Business loan securities
Corporate bonds are debt securities issued by companies to raise capital.
Investors who buy them are essentially lending money to the corporation in exchange for regular interest payments and return of principal at maturity.
They carry more risk than government bonds but typically offer higher yields: The portfolio includes a mix of stocks and corporate bonds.
Investment-grade bonds come from financially stable companies; junk bonds (high-yield bonds) come from riskier issuers.
- interest paymentsMoney owed for borrowing
- bond indentureContract governing debt securities
- debenturesUnsecured corporate debt instruments
- corporationsLegally incorporated business entities
- high yieldAbundant output ratio
investment grade · bondholders · secondary market · credit rating · underwriters · rating agencies · credit risk · par value · bankruptcy laws · refinancing · portfolio · treasury · rating · issuer · securities · investment · interest · principal
- assetsproperty, cash, money, investments, bank accounts
- financebank, CFO, banks, controller, finance
- bondsbond, government bond, municipal bond, treasury bond, savings bond
- corporate financecost of capital, investment, capital markets, NPV, debt financing
- investingstocks, stock, investing, investor, investments
- investmentsstocks, securities, investment, equities, holdings
corporate bondsgovernment bonds
State-issued debt securities
treasury bonds · municipal bonds · T-bills · treasury securities · sovereign debt
corporate bondsequities
Ownership stakes in corporations
common stock · shares · preferred stock · stock options · warrants