Debentures: Corporate bonds not backed by physical assets or collateral. They rely on the issuer’s creditworthiness.
Incorrect Options:
B: Trust certificates are a legacy term for bonds backed by a trust.
C: Collateral trust bonds are secured by financial assets.
D: GO bonds are issued by municipalities, not corporations.
References:
SEC Guide on Corporate Bonds:SEC Corporate Bonds.
Contribute your Thoughts:
Chosen Answer:
This is a voting comment (?). You can switch to a simple comment. It is better to Upvote an existing comment if you don't have anything to add.
Submit