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What is Corporate Bond? — Meaning, Definition & Example

Definition

Corporate bonds are debt securities issued by companies to raise capital. They typically offer higher interest rates than government bonds but carry credit risk. Bonds are rated by agencies like CRISIL, ICRA, CARE (AAA being safest). Available on exchanges or through mutual funds.

💡 Real Example

An AAA-rated HDFC corporate bond offering 8% annual interest is relatively safe and gives 1-1.5% more return than government bonds.

🇮🇳 Corporate Bond in Hindi / हिंदी में

कॉर्पोरेट बॉन्ड — कॉर्पोरेट बॉन्ड कंपनियों द्वारा पूंजी जुटाने के लिए जारी ऋण प्रतिभूतियां हैं। ये सरकारी बॉन्ड से अधिक ब्याज देती हैं लेकिन क्रेडिट रिस्क होता है।

Corporate Bond (Hinglish) — Corporate bonds companies dwara capital raise karne ke liye issue hone wale debt instruments hain. Government bonds se zyada interest dete hain lekin credit risk hota hai.

❓ Frequently Asked Questions

What is Corporate Bond in simple words?
Corporate bonds are debt securities issued by companies to raise capital. They typically offer higher interest rates than government bonds but carry credit risk. Bonds are rated by agencies like CRISIL, ICRA, CARE (AAA being safest). Available on exchanges or through mutual funds.
Can you give an example of Corporate Bond?
An AAA-rated HDFC corporate bond offering 8% annual interest is relatively safe and gives 1-1.5% more return than government bonds.
What is Corporate Bond meaning in Hindi?
In Hindi, Corporate Bond is called कॉर्पोरेट बॉन्ड. कॉर्पोरेट बॉन्ड कंपनियों द्वारा पूंजी जुटाने के लिए जारी ऋण प्रतिभूतियां हैं। ये सरकारी बॉन्ड से अधिक ब्याज देती हैं लेकिन क्रेडिट रिस्क होता है।