Debentures are long-term financial instruments used by companies to raise capital, representing a loan made by investors to the issuer. They typically pay a fixed rate of interest and are secured against the company's assets or may be unsecured. The main types of debentures include convertible debentures, which can be converted into equity shares; non-convertible debentures, which cannot be converted; and redeemable debentures, which are repayable after a specified period, as opposed to irredeemable debentures, which have no fixed maturity date.
Debentures are a type of debt instrument that companies issue to raise capital, representing a loan made by investors to the issuer. Examples include convertible debentures, which can be converted into equity shares, and secured debentures, which are backed by specific assets of the company as collateral. Other types include unsubordinated debentures, which have priority over other debts in case of liquidation, and zero-coupon debentures, which do not pay interest but are issued at a discount to their face value.
Debentures are categorized based on various characteristics, such as security, convertibility, and redemption. Secured debentures are backed by collateral, while unsecured debentures rely on the issuer's creditworthiness. Convertible debentures can be transformed into equity shares, while non-convertible debentures cannot. Additionally, redeemable debentures have a fixed maturity date for repayment, whereas irredeemable debentures do not have a set repayment term.
interest paid for debentures is a/an
recently which industry/company had issued its debentures
Firms that are well-established and have stable cash flows are most likely to issue debentures, as they can provide the assurance needed to attract investors. Companies in capital-intensive industries, such as utilities, telecommunications, or manufacturing, often issue debentures to finance long-term projects or expansions. Additionally, firms seeking to take advantage of favorable interest rates may also opt for debentures to raise funds without diluting equity.
Debentures are a type of debt instrument that companies issue to raise capital, representing a loan made by investors to the issuer. Examples include convertible debentures, which can be converted into equity shares, and secured debentures, which are backed by specific assets of the company as collateral. Other types include unsubordinated debentures, which have priority over other debts in case of liquidation, and zero-coupon debentures, which do not pay interest but are issued at a discount to their face value.
Debentures are categorized based on various characteristics, such as security, convertibility, and redemption. Secured debentures are backed by collateral, while unsecured debentures rely on the issuer's creditworthiness. Convertible debentures can be transformed into equity shares, while non-convertible debentures cannot. Additionally, redeemable debentures have a fixed maturity date for repayment, whereas irredeemable debentures do not have a set repayment term.
What are the risk relating to th debentures?
the companies that have issued debentures in recent years.give suggestions to make debentures more popular?
interest paid for debentures is a/an
Immediate answer coming to my mind is Bank deposits. Debentures and preference shares also fall under this category.
recently which industry/company had issued its debentures
capital loss to be written off over the tenure of the debentures .
recently which industry/company had issued its debentures
Firms that are well-established and have stable cash flows are most likely to issue debentures, as they can provide the assurance needed to attract investors. Companies in capital-intensive industries, such as utilities, telecommunications, or manufacturing, often issue debentures to finance long-term projects or expansions. Additionally, firms seeking to take advantage of favorable interest rates may also opt for debentures to raise funds without diluting equity.
history of secured redeemable non convertible debentures
Differentiate between a bearer debentures and convertible notes