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What are typical maturities, denominations, and interest payments of a corporate bond? what mechanisms protect bondholders?

Sagot :

Maturity of the bonds : Generally the maturity period of the corporate bonds  is differentiating between 10 to 30 years of time period.

Denomination : The denomination in which the corporate bonds are issued is the value of $1000.

Interest payments:  The interest payments are the payments of some fixed percentage of the value of the bond. Interest is  either paid annually or it can be paid  semi-annually by the corporates.

The mechanism which is  used to protect the bondholders includes indenture of the bond. It contains the following points to protect the bondholders:

Collateral  which was provided to the bondholders

Sinking fund policy of the bonds.

The restrictive promise of exchange for the bondholders.

To know more about bonds here:

https://brainly.com/question/23998871

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