Fixed income debt instruments issued by governments or corporations.
A debt obligation issued by a government, corporation or municipality that generally pays a stated rate of interest at regular intervals and returns the face value upon maturity. The following are the most common types of bonds: Agency Bonds, Callable Bonds, Convertible Bonds, Corporate Bonds, Coupon Bonds, Flower Bonds, Government Bonds, High-Yield Corporate Bonds, Individual Retirement Bonds, Municipal Bonds, Serial Bonds, Sinking-Fund Bonds, Zero Coupon Bonds.
A generic term for life assurance policies that contain a nominal amount of life cover and a large investment content. Marketed as investments and subject to special tax treatment. Phrase also used to describe Government securities.
A generic description for a wide range of insurance policies with low protection element and high investment content. It is a loan agreement with a company or the Government (i.e. the company or government issues bonds) whereby there is an arranged repayment to the investor when the loan matures and the investor receives interest throughout the life of the loan. See Gilt edged securities.
(all types) -- A bond is a certificate issued by a corporation when it needs to raise capital. Bonds are essentially loans that you make to a corporation in return for being paid interest, usually on specified dates. When the bond matures, the corporation pays back the principal plus any interest due.
A bond certificate is simply an IOU. It certifies that you have loaned money to a government or corporation and describes the terms of the loan. Only corporations can issue stocks, but bonds can be issued by corporations or governments.
A bond is a security that pays interest. The majority of bonds have a fixed life at the end of which the principal is returned.... more on: Bonds
A government issued fixed interest security, usually having a fixed date of redemption. See also Commonwealth Bonds.
Bonds are debt securities issued by companies or government entities. Bonds represent promises by the companies or government entities to pay interest at specified rates on specified dates, and to redeem the Bonds on a specified date. Bond values typically fall when Interest Rates rise, and rise when Interest Rates fall. Bonds involve risk to Principal. See also International Bonds, Bond Funds. Top of this page
Are debt certificates issued by borrowers, usually governments or corporations. Usually a bond will have a set date for maturity and fixed interest rate. At maturity the principal will be repaid in full.
Loans that investors make to corporations or governments. It is a type of investment where the issuer (the corporation or government) pays a specified amount of interest on a regular basis, plus the full value of the loan when it matures.
A bond can be issued by anyone but is, generally, a certificate issued by a government or a public company to repay money borrowed. These loans normally repay a fixed rate of interest over a specified time and then also repay the original sum at par in full after an agreed period - when the bond matures. Interest in bonds among private investors increased after corporate bonds were permitted to be included in a personal equity plan (PEP) from mid 1995.
A generic description for a wide range of insurance policies with low protection element and high investment content. Sold mainly for the investment element. Also used as an international term for Government securities.
Debt securities which generally entitle the holder to a fixed-rate of interest during their life and repayment of the amount of the bond at maturity.
A type of investment normally issued by the government, which usually guarantees regular payment of interest and repayment of capital on a specified future date; also called a fixed-interest security. These instruments are being increasingly issued by corporations.
of the same issue all maturing at the same time.
Interest-bearing securities, issued by governments, businesses, banks and other institutions to raise funds. Interest payments may be fixed or floating. ABN AMRO’s global retail distribution group provides a wide range of government bonds, corporate bonds, structured notes and credit linked notes.
Loans issued by the British Government, overseas governments and companies. The owner of a bond will receive a regular fixed interest and repayment of the initial investment after a set period of time. Bonds issued by the British Government are called gilt-edged securities (or gilts). Bonds issued by companies are called corporate bonds.
Debt securities which are issued for a fixed period. Bonds may be issued by the Government, companies and other types of institutions. When you buy bonds you are lending money. The issuer of the bond agrees to repay the principal amount of the loan at a specified time. Interest-bearing bonds pay interest periodically.
See fixed interest securities.
also known as fixed interest securities. A bond guarantees to repay a fixed amount of money at a pre determined date in the future (called the maturity date). Bonds are generally issued by the Governments, banks or companies to finance investment projects.
An I.O.U. for money you lend to the issuer of the bond. Issuer promises to pay the holder a specified amount of interest over a specific time period, with principal to be repaid on the maturity date.
Interest-bearing securities , these entitle the holder to interest during the life of the bond and repayment of the loan at maturity. See also Eurobond .
Ownership of a long term loan which entitles the holder to regular interest payments.
A certificate of debt issued by governments or major companies. Bonds issued by the British Government are called Gilts.
A certificate evidencing a debt on which the issuer promises to pay the holder a periodic amount of interest for a specified length of time and to repay the indebtedness at maturity.
An interest-bearing security which charges the issuer to pay to the holder the par value plus interest (coupon value) at some future date or over a period of time. The time schedule of the repayment varies with the type of bond. Be aware that in the UK bonds are referred to as gilts or stocks.
Promissory notes issued by a corporation or government to its lenders, usually with a specified amount of interest for a specified length of time.
Loans that investors make to corporations or governments (e.g., treasury notes, debt securities) in return for a promise to pay a stated rate of interest and to repay the loan on a specified maturity date; sometimes referred to as fixed-income securities.
Fixed interest investments, usually for the medium to longer term. They are issued by governments, companies or other entities (the borrowers) who pay the investor interest throughout the life of the bond. The level of security varies with the offering institution. (see also Fixed interest investments)
Investments where the purchaser is lending a sum of money to the issuer (usually a government or corporation) for a set amount of time at a fixed rate of interest.
An investment that represents a loan to a corporation, government or government agency or some other entity. The borrower agrees to pay the bond holder a specified rate of interest for a set period and agrees to repay the bond holder fully by the end of the agreed period. Also known as "fixed income instruments" or "debt securities".
A certificate of indebtedness. The issuer promises to pay the holder a certain amount of interest for a fixed period and to repay the capital at maturity.
A long-term debt security with a stated interest rate and fixed due dates, issued by a corporation or a government, when interest and principal must be paid. There are many variations.
A bond is a certificate which shows a debt. The issuer of the bond promises to pay the holder a specific amount of interest for a specific length of time. On the maturity date, the loan is repaid. The assets of a corporation are pledged as security for the loan. Bonds are issued by corporations and federal, provincial and municipal governments. If a company is liquidated, bond holders can claim any company assets before shareholders.
are a type of debt which is sold on the financial markets to investors and is used to finance a variety of activities and projects such as statewide road improvements, higher education facilities, correctional facilities and statewide mass transit. There are many different types of bonds such as general obligation bonds, special obligation bonds, revenue bonds, conduit debt and moral obligation debt.
Governments and companies issue bonds in order to raise money. The bonds are issued with a promise to pay the money back at a fixed time along with interest at a fixed rate. Also known as fixed interest securities.
A certificate of debt issued by a government or corporation guaranteeing payment of the original investment plus interest by a specified future date.
Instruments of loans or debt, issued by corporations, governments of municipalities to raise money. Mutual funds that invest primarily in bonds are called "income" funds.
Fixed-income securities, which entitle the holder to a pre-determined return during their life and repayment of principal at maturity.
Governments, states, corporations and many other types of institutions sell bonds. It is a promise to repay the principal or cost price along with the interest on a specified or maturity date.
Bonds are a form of investment that are usually sold by the government and provide a small gain. They are often given as gifts, and are not really a serious form of investment.
A bond is a fixed interest type of investment that's simply a promise to repay money, with interest, on a certain date in the future. Basically, the return is fixed when held to maturity. In Australia and overseas, bonds are issued by governments, semi-government organisations and corporations.
Means of raising debt through the capital markets. See also Gold-backed bonds.
The debt instrument of an issuer (essentially an I.O.U. for money you lend to the issuer) t promises to pay the holder a specified amount of interest, for a specified time period, with principal to be repaid on the maturity date.
An investment that pays you interest in semi- annual installments until a future maturity date, when the issuing government or company repays the bond s face value. Strictly speaking, the issuer pledges assets as security, except in the case of government bonds, but the term is often loosely used to describe any debt investment. Corporations and the federal, provincial and municipal governments issue bonds. Bond holders are first in line before shareholders to claim any of a company's assets when it goes insolvent.
Bonds are tradable instruments (debt securities) which are issued by a borrower to raise capital. They pay either fixed or floating interest, known as the coupon. As interest rates fall, bond prices rise and vice versa.
Money can be lent to you by the government, which are gift edged bonds, or a public company, which is called a corporate bond. Loans are paid back with interest on an agreed upon date.
Debt instruments that are issued for a period of more than one year. When an investor buys a bond, he or she is lending money to the seller of the bond. The seller agrees to repay the principal amount of the loan at a specified time. Interest-bearing bonds pay interest periodically. TVA issues bonds with different structures, maturity dates, and interest payment frequencies, and in several different currencies. Read about TVA bonds.
Securities issued by corporations and governments representing the promise to make periodic payments of interest and repay a debt of borrowed funds at a certain time.
(as investments) A bond is a debt issued by the U.S. Treasury, the state, or even corporations for a period of a year or more. An investor buys a bond, who is in essence lending money until a specified date (when the bond matures). On the maturity date, the investor receives the original principal, with interest. There are some bonds (interest-bearing bonds) that will pay interest during the term of the loan.
Investments in the debt of governmental groups, their agencies or corporations. Bonds are also called fixed income securities because they generally pay a fixed amount of interest each year until maturity, when the principal is returned. Municipal bonds are the obligations of states and other local authorities and most are exempt from federal taxes. The municipal bond fund invests in a portfolio of municipal bonds that is nationally diversified. Bonds do fluctuate in price, so there will be variations in the daily value.
Bonds are fixed interest securities; they are issued by governments, companies and local government bodies to raise money. They differ from shares in offering a fixed return (for the exception to the rule see index-linked bonds). In the case of companies, bonds rank ahead of shareholders in the event of bankruptcy. Bonds issued by the UK Government are regarded as absolutely safe (hence the term gilt-edged) because they are effectively a claim on the Government's ability to raise taxes.
A bond is simply an IOU. It is an agreement under which a sum is repaid to an investor after an agreed period of time. By purchasing a bond you are lending money to the institution issuing the bond. Such loans normally repay a fixed rate of interest (unlike equities) over a specified time and then repay the original sum in full after a fixed period when the bond matures. Bonds are generally issued by either the government (gilt-edged bonds), or a public company (corporate bonds). Gilt-edged or Treasury bonds usually pay out interest twice a year. The amount they pay can be calculated by multiplying the face value of the holding by the "coupon" (rate of interest) shown in the title of the gilt.
Securities issued by a corporation or a governing body to raise funds. Bonds are backed by a promise to pay a certain sum of money on a specific date, plus interest, payable in installments during the term of the bonds.
When you buy a bond, you are actually loaning your money to the organization that issued the bond. That is why bonds are often called "debt instruments." The principal (the "face value" of the bond) is repaid on the maturity date.
Bonds are debt and are issued for a period of more than one year. The US 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.
Certificates issued by borrowers, usually governments or corporations. A bond will normally have a fixed interest rate and a set maturity date, at which time the principal will be repaid in full. A typical bond will have interest coupons attached which are redeemed annually or semi-annually.
Any interest-bearing or discounted government or corporate security that obligates the issuer to pay the bondholder a specified sum of money at specific intervals to repay the principal amount of the loan at maturity.
A long-term loan certificate issued by governments and organisations in order to raise capital. Investors who buy these receive a fixed amount of interest for the life of the bond, and get their principle back at the end of it. A bond issued by a foreign institution is known as a bulldog in the UK, a yankee in the USA, a samurai bond in Japan, and so on.
A debt acknowledgement, IOU or similar issued by a borrower; usually a Government or a corporation.
are a type of loan where borrowers (governments or corporations) receive cash and lenders (investors) receive a guarantee of repayment upon maturity plus interest. Over the past twenty years, bond issues have replaced bank lending as the major source of developing country finance. The trading value of a bond on global bond markets is inversely related to its perceived riskiness (i.e. the likelihood that the government or corporation issuing the bond is likely to default on its repayment agreement).
A debt security in which the issuing party (a corporation, a municipality, or the U.S. Government) agrees to pay the holder a fixed rate of interest at regular intervals, usually semi-annually and also promises to pay the face value of the debt security at the time of maturity. The maturity can range from 6 months to 30 years. Also see Zero Coupon Bonds.
A bond is a written promise to repay a debt at an agreed time and to pay an agreed rate of interest on that debt.
When you buy bonds, you are, in effect, making a loan to the person or entity that is offering that bond for sale. Bonds pay an agreed-upon rate of interest over a specific period of time, providing the holder with a fixed income throughout its term. The bond "matures" at the end of its term, at which time the principal is returned to the investor. There are three categories of bonds, based upon maturity timetables: Bills - reach maturity in less than a year. Notes - reach maturity in one to ten years' time. Bonds - reach maturity in more than ten years. There are many different types of bonds. These include: Treasuries - Bonds, notes, and bills issued by the federal government. Municipal Bonds - Bonds issued by states or cities, offering tax-free returns. Corporate Bonds - Bonds issued by private companies and traded in a similar manner as stocks. Mortgage & Asset-backed Securities - An investment bond backed by mortgages or non-real estate assets. Zero Coupon Bonds - Bonds that pay interest at maturity, rather than through regular payments. Foreign Government Bonds - Treasuries issued by non-U.S. national governments.
Debt obligations of corporations or the government
Alternative form of financing construction projects and long-term mortgage-related debt. Often referred to as 'debentures', bonds are underwritten by outside professional companies who market a church's creditworthiness on the open-market to investors. Those investors, in exchange for a set amount of interest, agree to front the church the necessary money the church needs to complete the financing needs of their building. Bonds are usually collateralized by the church's property. In agreement for issuing bonds, churches promise to repay the borrowed money through a series of principal and interest payments, or risk forfeiture of the church property. Bonds often afford churches greater flexibility in structuring their debt repayment than conventional financing does. As such a bond's long-term costs is usually greater than traditional bank-related financing. Church bonds may or may not be registered with state and national securities regulators, and as such, churches should carefully research bond companies they choose to do business with.
Securities issued to raise funds by a corporation or a governing body, backed by a promise to pay a certain sum of money on a specific date plus interest
otherwise known as fixed-interest securities, bonds are basically IOUs which are issued by governments, financial institutions and companies. Generally, the issuer undertakes to pay investors a fixed rate of interest for a fixed number of years (e.g. 7% for 5 years). The fact that the interest rate is fixed makes bonds attractive because their return is so predictable. Bonds are traded in open markets, in the same way as shares. (See also Gilts)
Securities issued by the U.S. government, corporations, federal agencies, or state or local municipalities. Bonds are sometimes further classified as follows: Corporate Bonds - Debt instruments issued by corporations, as distinct from ones issued by a government agency, typically interest-bearing with a fixed maturity. High-Yield Bonds - A bond that has a rating of BB or lower and pays a higher yield to compensate for the greater credit risk. Long-Term Government Bonds - Securities issued by the US government and debt issues of federal agencies having a maturity of 10 years or more. Mortgage-Backed Bonds - Securities backed by mortgages issued by FMLMC and FNMA or guaranteed by GNMA. Investors receive payments out of the interest and principal on the underlying mortgages. Municipal Bonds - Debt obligation of a state or local government entity. The funds may support general government needs or fund special projects. The interest on these bonds is typically exempt from federal income taxes, and most state and local taxes.
Debt securities generally for borrowings due to be repaid several years after they are issued. Bonds are legal instruments to evidence borrowed money.
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 and are more usually called loan stocks in this country. See also Gilts.
There are generally two (2) types of bonds, which are sold to finance capital expenditures: General Obligation (G.O.) Bonds â€” These bonds are secured by the full faith and credit of the issuing government. A property tax rate is established to redeem these bonds. Revenue Bonds â€” These bonds are redeemed by a nonâ€”property tax. For example: sales tax to redeem street construction bonds, or County hospital revenues to redeem hospital construction bonds.
An instrument to raise funds. Banks or other organisations, including the government can issue funds. Bonds tend to be issued for 1 to 30 years, although less than 10 years is more normal.
A bond is a loan that can be traded. Investors lend money ordinarily in return for a series of interest payments and, usually, the promise to have the loan repaid on a fixed date.
When you buy a bond you are, in effect, lending money to the city, company, or other entity that issued it. In return, the user pays you interest. There are many kinds of bonds. U.S. government bonds are issued by the federal government. When you buy a government bond, you're helping to finance the federal deficit. Municipal bonds are bonds issued by cities, counties, and states. They are often issued to finance specific projects, such as the construction of a highway or athletic stadium. Corporate bonds are bonds issued by companies. Junk bonds are high-interest, high-risk bonds issued by relatively uncredit-worthy borrowers.
Certificates of corporate or government debt that pay interest. You receive the certificate amount when the investments mature.
Bonds are issued by Governments and large corporations in return for cash. The bondholder receives interest for the fixed term of the bond, which can typically range from 2 to 20 years.
Evidence of loans to corporations and governments. The borrowers promise to repay the loan by a certain date and to pay interest regularly to the investors in the interim.
A bond is a debt instrument from which the bondholder receives interest. Changes in interest rates and the credit rating of the company will affect the value of the bond. Although bonds fluctuate in market value, they are generally less volatile than stocks.
Investments that are considered debt investments - for example, you are loaning money to an entity that needs funds for a defined period of time at a specified interest rate. In exchange for your money, the entity will issue you a certificate, or bond, that states the interest rate you are to be paid and when your funds are to be returned to you, or the maturity date of the bond. Interest on bonds is paid every six months.
While I generally favor equity investments, I also recognize that an allocation to bonds can be important for many investors. The right types of bond holdings can lend stability to an investment portfolio at the cost of more modest returns. While we do not specialize in bonds, we sometimes make selective investments in this asset class to fill particular needs within a portfolio, including foreign currency bonds to take advantage of currency movements. I look on bonds as a low-risk investment for those seeking income, particularly in a laddered structure. As a pure investment, the returns can often be unsatisfactory after taxes and inflation.
This is a type of investment that represents corporate or government debt. In essence, a bond is a loan from the purchaser to the company or government agency that issued it. Bonds are not federally insured, though bonds issued by the U.S. Government are considered free of repayment risk.
Officially called debt securities, bonds provide ways for governments to raise large sums of money by borrowing. Bonds usually have a principle amount and a contract interest rate. The principle can be paid at maturity while the interest is generally paid semi- annually as a percent of the principle. For example, a government could see $10,000,000 in bonds with a 5% interest rate. If the bonds matured in five years, then the $10,000,000 would have to be paid to the bondholder. During that period, $500,000 would have to be paid in interest each year or $250,000 semi- annually. These bonds would be called term bonds, since they are due at a fixed point in time. Serial bonds come due at different points in time.
Investments that are debt instruments issued by governments or corporations. The owner of the bond has loaned money to the issuer and receives regular interest payments until the bond matures or comes due. Many investors own bonds via mutual funds. ï¿1/2 ï¿1/2 ï¿1/2 ï¿1/2
Debt obligations issued by a government or corporation that generally pay a stated rate of interest and return the face value upon maturity.
Debt instrument issued by a company or other borrower instead of shares, as a way to raise finance. Can be listed on the stocks exchange and traded like shares.
A certificate representing creditorship in a corporation and issued by the corporation to raise capital. The company pays interest as a bond issue at specified dates and eventually redeems it at maturity, paying principal plus interest due.
Debt obligation that is issued by a government or business firm with a term that usually exceeds five years. Generally, a bond is a promise to repay the principal along with interest on a specified date(s). It is often secured and has priority over shareholders if the company becomes insolvent and its assets are distributed.
Bonds, also known as fixed interest securities, are agreements that guarantee to repay a fixed amount of money at a pre-determined date in the future (maturity date). Bonds are generally issued by governments, banks or companies to finance investment projects.
These are debt obligations or IOUs issued by a corporate entity or government promising to repay borrowed money at fixed rate or variable rate of interest.
A long-term loan certificate issued by governments and organisations in order to raise capital. The capital is repaid with interest. A bond issued by a foreign institution is known as a bulldog in the UK, a yankee in the USA, a samurai bond in Japan and so on.
A bond is effectively an IOU for a company's debt. Government bonds are called gilts. The investor lends money to the company or government, which in turn promises to repay the debt, along with interest, on an agreed date.
certificate which is evidence of 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. Strictly speaking, assets are pledged as security for the loan, except in the case of government bonds, but the term is often loosely used to describe any debt issue. Bonds are issued by corporations and by federal, provincial and municipal governments. Bond holders are first in line before shareholders to claim any of a company's assets in the event of liquidation.
They are loan instruments. A bond holder is the creditor of the company. Bonds are normally issued for a minimum period of three-years for a specific interest rate.
An IOU or promissory note issued by companies or governments and their agencies. Bonds provide income and some growth potential but not as much growth potential or historical price fluctuations as stocks. The amount of interest paid by a bond varies depending on its credit risk (the risk the issuer will repay the loan) and on its maturity risk. High quality, short-term bonds generally pay the lowest yields, and low quality, long-term bonds pay higher yields.
A debt security issued by corporations, governments or their agencies, in return for cash from lenders or investors.
Offered by governments and corporations, bonds are investments in which you lend a sum of money to the issuer for a set amount of time at a fixed rate of interest.
Bonds are debt instruments issued by a company, non-profit organization or government to finance a certain aspect of its operation.Â Bond investors essentially lend money to the institution issuing the bond and are entitled to receive interest on that loan until it matures.Â Depending on the bond's coupon interest rate, a bond can become more or less attractive to buyers and, as a result, may rise and fall in market value.