In finance, a bond is a debtsecurity, in which the issuer owes the holders a debt and is obliged to repay the principal and interest (the coupon). Other stipulations may also be attached to the bond issue, such as the obligation for the issuer to provide certain information to the bond holder, or limitations on the behavior of the issuer. Bonds are generally issued for a fixed term (the maturity) longer than one year.
A bond is just a loan, but in the form of a security, although terminology used is rather different. The issuer is equivalent to the borrower, the bond holder to the lender and the coupon to the interest. Bonds enable the issuer to finance long-term investments with external funds.
Share falls in big companies increase gloom Fri, 05 Sep 2008 22:45:00 -0000 Shares in Britain's biggest groups ended their worst week in six years on Friday after the market was jolted by a surprising jump in US unemployment London mining and metals sectors buckle Fri, 05 Sep 2008 20:09:00 -0000 Metals companies bore the brunt of heavy selling on Friday as the London market lurched to its worst weekly performance in more than six years Nokia warning hits European markets Fri, 05 Sep 2008 19:43:00 -0000 A Nokia warning that the mobile phone group's share of the handset market will fall in the third quarter piled pressure on European markets Banks lead European shares lower Thu, 04 Sep 2008 23:10:00 -0000 Rising worries about eurozone growth pushed European markets to their second consecutive day of steep losses, led by banks and commodity stocks $100 a barrel in sight as oil price slips Tue, 02 Sep 2008 20:29:00 -0000 Oil prices sank to a five-month low of just over $105 a barrel as traders turned their sights on signs that slower growth was spreading beyond the US into Europe, Japan and emerging markets US stocks higher on economic data Wed, 27 Aug 2008 22:16:00 -0000 US stocks rose as investors took heart from better-than-expected data on durable goods orders, in spite of a rise in oil prices as a result of concerns that tropical storm Gustav could disrupt supplies