REGISTERED BOND Meaning and
Definition
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A registered bond refers to a type of security that represents a debt obligation issued by a government body or corporation, where ownership is recorded on the bond issuer's books. When an individual purchases a registered bond, their name and details are recorded in the bond issuer's register, confirming their ownership of the bond and entitling them to receive interest payments and the principal amount upon maturity.
This form of bond offers greater security compared to bearer bonds, as the ownership is clearly recorded and tracked. It provides investors with reassurance that their investment is legally recognized and protected by the bond issuer. Additionally, registered bonds are non-transferable, which means that only the registered owner has the right to redeem the bond or receive interest payments.
The bond issuer typically maintains the register of bond owners and uses it to communicate important information regarding interest payments, maturity dates, or any changes in terms and conditions. Furthermore, the issuer may provide periodic statements or documentation to the bondholder, serving as proof of ownership.
Registered bonds can be issued in various forms, such as government bonds, corporate bonds, or municipal bonds. Their interest rates, maturity dates, and payment terms are usually predetermined and disclosed in the bond prospectus. Investors are encouraged to thoroughly review the terms and conditions of a registered bond before making an investment decision to ensure it aligns with their financial goals and risk appetite.
Common Misspellings for REGISTERED BOND
- eegistered bond
- degistered bond
- fegistered bond
- tegistered bond
- 5egistered bond
- 4egistered bond
- rwgistered bond
- rsgistered bond
- rdgistered bond
- rrgistered bond
- r4gistered bond
- r3gistered bond
- refistered bond
- revistered bond
- rebistered bond
- rehistered bond
- reyistered bond
- retistered bond
- regustered bond
Etymology of REGISTERED BOND
The etymology of the word "registered bond" is as follows:
1. Registered: The term "registered" comes from the verb "to register", which has its roots in the Latin word "regesta" meaning "list" or "register". It entered the English language in the early 15th century, referring to the act of recording or enrolling something in an official list or book.
2. Bond: The word "bond" traces back to the Old English word "bonda", which meant "householder" or "peasant". It evolved over time and in the late 14th century, took on the meaning of a pledge or security provided to ensure a specific outcome. This sense of the word eventually came to be associated with financial instruments that represent a debt obligation.
Similar spelling words for REGISTERED BOND
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