List of Bonds Articles

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Bonds

What risks are associated with government bonds?

Investing in bonds is considered among the best avenues of earning passive income. Bonds are debt instruments where an investor gives a sum of money to a government or corporate entity for a certain period (maturity period).

Who can buy bonds?

Bonds are considered one of the safest investment choices compared to stock, derivatives, and other financial instruments.

What is Credit Risk Exposure?

Businesses are inherently risky. It is the one thing that unites them across sectors and geographies. While organizations can't run without risks, they can mitigate them.

What is a Subordination Agreement?

Investors utilise the capital they have saved over time to start their journey in the Indian financial market.

What Is Senior Debt?

Companies need liquidity/money to fund their expansion plans. Issuing debt is one such way of raising funds.

What is Pull to Par?

Almost every experienced investor diversifies and invests in various asset classes. Although they may start with equities, they do not retrain their investments to trade in stocks.

What is a Discount Bond?

Though equity and debt securities are issued to raise money, they differ by structure. Unlike equity, debt securities have prespecified principal repayment and coupon payment schedules.

What is a Liquid Yield Option Note (LYON)?

The financial market is one of the best places to invest money and multiply wealth over time. However, as there are numerous financial instruments where a person can invest, it becomes confusing to choose.

What is Yield to Maturity (YTM)?

Though issuing equity is a popular way for organizations to raise money, some organizations consider issuing debt securities, too.

What is Coupon Equivalent Rate?

Investors diversify and ensure they have uninterrupted profits in every stock market scenario. Starting with equities, they move to the debt instruments such as bonds, where they know they will receive returns through a coupon rate or value appreciation.