Corporate bonds

RECENT NEWS
Reuters  Jul 28  Comment 
Russian bank and company bonds denominated in dollars and euros have slumped in value in the past few days in anticipation of tough European Union sanctions.
The Straits Times  Jul 24  Comment 
July 25, 2014 1:01 AM RETAIL investors may soon find it easier to buy products such as corporate bonds, now largely the preserve of bigger investors.
Financial Times  Jul 10  Comment 
Investors flock to securities cooling concerns over credit quality and sensitivity of bond prices to interest rate changes as the Fed starts tapering
Wall Street Journal  Jun 29  Comment 
Spreads on corporate bonds have narrowed, and changes in their quality and market dynamics mean investors could be at risk.
Finance Asia  Jun 26  Comment 
Asia-based accounts now buy up to 30% of every Australian bond issued and this share is set to increase as demand outstrips supply, says National Australia Bank.
Financial Times  Jun 26  Comment 
Tradeweb’s new venue for US corporate debt to launch next month as large financial groups seek to boost liquidity in the $10tn market
Finance Asia  Jun 24  Comment 
SriLankan Airlines has raised $175 million from international debt capital markets — the first company to do so.




RELATED WIKI ARTICLES

Related Articles

 
TOP CONTRIBUTORS

A corporate bond is a bond issued by a corporation. It is a bond that a corporation issues to raise money in order to expand its business. The term is usually applied to longer-term debt instruments, generally with a maturity date falling at least a year after their issue date. (The term commercial paper is sometimes used for instruments with a shorter maturity.) Sometimes, the term "corporate bonds" is used to include all bonds except those issued by governments in their own currencies. Strictly speaking, however, it only applies to those issued by corporations. The bonds of local authorities and supranational organizations do not fit in either category.

Corporate bonds are often listed on major exchanges (bonds there are called "listed" bonds) and ECNs like Bonds.com and MarketAxess, and the coupon (i.e. interest payment) is usually taxable. Sometimes this coupon can be zero with a high redemption value. However, despite being listed on exchanges, the vast majority of trading volume in corporate bonds in most developed markets takes place in decentralized, dealer-based, over-the-counter markets. Some corporate bonds have an embedded call option that allows the issuer to redeem the debt before its maturity date. Other bonds, known as convertible bonds, allow investors to convert the bond into equity.

Corporate Credit spreads may alternatively be earned in exchange for default risk through the mechanism of Credit Default Swaps which give an unfunded synthetic exposure to similar risks on the same 'Reference Entities'. However, owing to quite volatile CDS 'basis' the spreads on CDS and the credit spreads on corporate bonds can be significantly different.

Wikinvest © 2006, 2007, 2008, 2009, 2010, 2011, 2012. Use of this site is subject to express Terms of Service, Privacy Policy, and Disclaimer. By continuing past this page, you agree to abide by these terms. Any information provided by Wikinvest, including but not limited to company data, competitors, business analysis, market share, sales revenues and other operating metrics, earnings call analysis, conference call transcripts, industry information, or price targets should not be construed as research, trading tips or recommendations, or investment advice and is provided with no warrants as to its accuracy. Stock market data, including US and International equity symbols, stock quotes, share prices, earnings ratios, and other fundamental data is provided by data partners. Stock market quotes delayed at least 15 minutes for NASDAQ, 20 mins for NYSE and AMEX. Market data by Xignite. See data providers for more details. Company names, products, services and branding cited herein may be trademarks or registered trademarks of their respective owners. The use of trademarks or service marks of another is not a representation that the other is affiliated with, sponsors, is sponsored by, endorses, or is endorsed by Wikinvest.
Powered by MediaWiki