Question: Even though bonds are debt obligations, investing in them involves risk. What are the sources of risk? What service is available to aid the buyers
Even though bonds are debt obligations, investing in them involves risk. What are the sources of risk? What service is available to aid the buyers of debt instruments in selecting a particular bond?
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Sources of risk to investors in bonds are 1 Default which is the failure of the firm to meet the terms of the debts indenture 2 Fluctuations in intere... View full answer
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