What Is a Bond?

What Is a Bond?

linkremoval Trainee Asked on November 7, 2014 in Stocks and Bonds.
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7 Answer(s)

In finance, a bond is a debt security, in which  issuer owes the holders a debt and is obliged to repay the principal and interest.It is more secure than shares.

CA Ritika Mittal Accountant Answered on November 8, 2014.
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A written and signed promise to pay a certain sum  of money on a certain date, or on fulfillment of a specified condition. All documented contracts and loan agreement are bonds.

Raj Accountant Answered on November 8, 2014.
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A debt investment in which an investor loans money to an entity (corporate or governmental) that borrows the funds for a defined period of time at a fixed interest rate. Bonds are used by companies, municipalities, states and U.S. and foreign governments to finance a variety of projects and activities.

Priyanka Gupta Accountant Answered on December 27, 2014.
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A bond is an instrument of indebtedness of the bond issuer to the holders. It is a debt security, under which the issuer owes the holders a debt and, depending on the terms of the bond, is obliged to pay them interest (the coupon) and/or to repay the principal at a later date, termed the maturity date.

Nielgrey Trainee Answered on November 8, 2014.
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Bond is a debt security, in this issuer owes  a debt and according to the conditions of the bond, is allowed to pay the set interest and then repay the principal amount on a later date.

Aditi Arora Trainee Answered on November 12, 2014.
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Bonds are simply loans made to an organization. They are a form of debt and appear as liabilities in the organization’s balance sheet.

A bond, also known as a fixed-income security, is a debt instrument created for the purpose of raising capital. They are essentially loan agreements between the bond issuer and an investor, in which the bond issuer is obligated to pay a specified amount of money at specified future dates.

smithcorey Trainee Answered on December 9, 2014.
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A debt asset in which an investor loans money to an entity that borrows the funds for a defined period of time at a fixed interest rate.

Neharani Trainee Answered on December 9, 2014.
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