You may have heard of Bonds in the context of finance, and you may have done investing in bonds too. In plain words, a bond is a loan but in the form of a security. It has a maturity date and a maturity value, and it carried an interest rate. The interest rate is called the coupon or the coupon rate. After the maturity, the amount of maturity value is repaid to the investor.
Types[]
There are many types of Bonds and you may find a different return investing in them. Some of the more popular types of Bonds are liste below:
- Fixed rate bonds
- Floating rate notes
- High yield bonds
- Zero coupon bonds
- Indexed bonds
- Asset-backed securities
- Subordinated bonds
- Perpetual bonds
- Bearer bond
- Registered bond
- Municipal bond
- Book-entry bond
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See also[]
External resources[]
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