How Do You Spell BONDHOLDERS?

Pronunciation: [bˈɒndhə͡ʊldəz] (IPA)

The word "bondholders" is spelled with four syllables: /ˈbɒndhəʊldəz/. The first syllable begins with a stressed "b" sound and ends with an "o" sound as in "hot." The second syllable starts with a "n" sound, followed by a "d" sound and a schwa sound, and is also stressed. The third syllable contains the "h" sound followed by a schwa sound and ends with a "d" sound. The final syllable starts with a stressed "er" sound and ends with a "z" sound. "Bondholders" refers to individuals or entities that own bonds issued by a company or government.

BONDHOLDERS Meaning and Definition

1. Bondholders are individuals, organizations, or institutions that possess bonds issued by a government or corporation. These bonds represent a debt obligation, whereby the bondholder lends money to the issuer for a specified period at a predetermined interest rate. In return, the issuer makes regular interest payments to the bondholders over the bond's lifespan and repays the principal amount at maturity. Bondholders can include retail investors, institutional investors, banks, pension funds, and insurance companies.

   The rights and privileges enjoyed by bondholders primarily depend on the terms and conditions of the bond agreement. These may encompass entitlements such as receiving timely interest payments, participating in any potential bond offerings, and claiming collateral or assets in the case of default. Bondholders rank ahead of shareholders in terms of priority when it comes to liquidating assets during bankruptcy or other financial restructuring. However, they generally carry a lower level of risk compared to shareholders, as they receive fixed interest payments regardless of the issuer's profitability or performance.

   Bondholders play a crucial role in capital markets as they provide funding to governments and corporations to finance various operations, projects, or investments. Their participation enables issuers to raise money and expand their activities without having to rely solely on equity financing. Moreover, the regular interest payments offered to bondholders attract income-oriented investors seeking a stable source of returns. Overall, bondholders serve as critical stakeholders who facilitate the functioning and growth of the global financial system.

Common Misspellings for BONDHOLDERS

• bondholderr
• bondholdrs
• bondholderss
• bondhldrs
• bondrolders

Etymology of BONDHOLDERS

The word "bondholders" is formed by combining two separate words: "bond" and "holders".

The word "bond" originated from the Old English word "bund", which meant a binding or tying. It later evolved to mean a written agreement or a legal obligation. The term "bond" in its financial sense can be traced back to the 16th century, referring to debt securities issued by corporations or governments.

The second part of the word, "holders", is the plural form of "holder", derived from Old English "healdan", meaning to hold or possess. It refers to someone who possesses or holds something, in this case, bonds.

When combined, "bondholders" refers to individuals or entities who hold or own bonds, representing their investment in these debt securities.

Similar spelling word for BONDHOLDERS

• bondholder.