Corporate bonds

corporate bonds, or corporate bonds in Italian, are debt securities issued by a company and sold to investors.
The reason for investing in corporate bonds is usually the company’s ability to repay and pay a return, which generally involves money that will be earned by the company through future operations. In some cases, the company’s physical assets can be used as collateral for corporate bonds offered on the market.

corporate bonds are considered higher risk than government bonds. As a result, interest rates are almost always higher for corporate bonds, even for companies with higher credit quality.

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Trading: what are bonds and how do they work

Money.it

26 February 2024 - 17:00

Trading: what are bonds and how do they work

Fixed-rate, variable rate, subordinated, inflation-linked, and convertible: a complete guide on what bonds are, what types of bonds exist, and how they work.