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Q: What are examples of Debentures?
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What are the risk relating to th debentures?


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What are Redeemable debentures?

Redeemable debentures are those securities which are to be repaid within a stipulated period / maturity period. For instance, X co issued 9% 7 years $ 1000 Debentures. This issue of debentures has coupon rate of 9% per year and redeemable period of 7 years. The amount raised by issuing thses debentures are to be repaid within 7 years from now.


What is debenture explain in simple term?

Debentures refers to discharging the liability on account of debentures in accordance with the terms of issue.