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Difference betwen debentures and bonds
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Answer Posted / amit pandey
bonds are secured loans offered by a company where the
bond holder will be paid the principal amount+interest
after a fixed time before maturity you will not get
anything.so it is like taking insurance policy.they are
much secured.bonds are usualy offered by government
companies.
debentures are not very secured loans offered by
companies.during the bankruptcy bond holder will get
preferance.though in debentures case interest rate is very
high and fixed amount is paid at regular intervals .
| Is This Answer Correct ? | 24 Yes | 3 No |
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