Investment Bond is an investment instrument that is offered by life insurance companies. Investment bonds are also known as insurance bonds. They are long-term, tax-effective investment options. Investment bonds are one of the most popular investment products for financial advisers to sell. The investment is provided in the form of ...
Treasury bills are very safe short-term investments issued by the federal government and some provinces. These are also known as T-Bills. Treasury Bill is a negotiable debt obligation issued by a government. Treasury bills are impotent money market instruments. These are short-term government securities, which pay no fixed rate of ...
Corporate bonds are longer-term debt instruments issued by companies to raise money. It is a debt security issued by a corporation and sold to investors. Corporate bonds are issued generally with a maturity date at least one year after the date of issue. Corporate bonds, which have a short-term maturity, ...
Government bonds are basically fixed income security type. They are absolutely risk free. Investments in these bonds are safer than investing in the stock market. The government bonds of the developed countries are generally regarded as the more secured ones than the developing or the underdeveloped ones. The concerned governments issue ...
Zero coupon bond is a bond that generates no periodic interest’s payments during its life time. Zero coupon bonds are at a deep discount from their face value. The holder of a zero-coupon bond only receives the face value of the bond at maturity. When a zero coupon bond matures, ...
In order to raise funds for public purposes, the states, cities, or local government entities issue bonds or debt securities. These bonds or debt securities are called ‘Municipal Bonds’. Municipalities issue bonds to raise capital for their day-to-day activities and for specific projects such as --- building schools, hospitals, constructing ...
A Bond is a credit that an investor makes to a company, government, centralized agency, or other organization. Bonds are financial instruments that help large business houses and the state to rise finance on a large scale. It is a long-term debt security with a stated interest rate and fixed ...