Debentures? (2 Viewers)

[carpe_diem]

What exactly are they? Are they just loans issued by companies instead of banks? The Excel book states: "...fixed interest securities issued by a company that will pay a fixed interest rate on the money loaned to the company"

So, basically, a company gives funds to another company, and the borrowing company pays interest to the company that loaned it to them?

Thanks

 

[KierenTran]

I doubt you would have to go in details about it. So all you probably need to write is - A loan charged for a Fixed rate of interest for a fixed rate of time, by a financial institution other than a bank?

 

[carpe_diem]

And just know the pros and cons? Ok, that's cool. Thank you