Types of investments

Before you start investing, ifs best to know your options. Some investments
involve lending money and collecting interest.
Others require purchasing and selling stock in companies.
Interest earning investments include certificates of deposit (CD), bonds, and
money market accounts. Borrowers may use money from these accounts to invest in
a variety of other securities.
Stocks are portions of financial investment in a company. Equity is the total
value of stocks someone owns in a company. As the company grows, this value
usually increases as well.
A mutual fund is an investment managed by a professiona manager. This
person pools funds from several clients. He or she then applies this money to a variety
of other investments. you prefer investments that you can see, real estate is ar option.
Investing in real estate involves the purchase, sale anc rental of land and buildings.

Investment styles

Risk tolerance is the key element that will determine your investing style. Some
people have a naturally high level of risk aversion. They can go with investments that are
virtually risk-free, like securities such as bonds – returns at a fixed rate of interest and CDs –
an interest earning account with a fixed time period.

Perhaps you are considering personal investments to sustain you after retirement. You
also should maintain a conservative investing approach if you’re a cautious investor. Stay in
your comfort zone. Avoid the stress of market fluctuations.

Some of you, on the other hand, are more willing to take chances. You will risk great
losses for a chance at great returns. You should go with a more aggressive investment
approach in stocks - partial ownership in a company. But most people are comfortable with
medium level of risk, moderate investments are the way to meet their goals. Invest in mutual
funds - an investment managed by a professiona manager to limit risk but increase returns.

Personal investments and retirement

There are several retirement saving methods: the Traditional IRA, the Roth
IRA.
A traditiona IRA applies tax deductions to deposits when they are made.
Roth IRA apply the tax breaks upon retirement.
Some employers offer methods of saving for retirement. These include
pensions and profit sharing. Employers will make equal employee’s
contributions(match) to a company retirement fund. If an employee leaves a
company, he or she can transfer retirement funds into an IRA. This is done either
by direct transfer or by rollover(indirect transferring money into IRA with a
check).
 Another way to save is to build a strong personal investment portfolio or
you can enter into a trust agreement with a professional investor. This person will
manage your investments for you. Then, when you reach retirement age, you can
cash in those investments.

Money Market: Its Participants and Instruments

The term money market is actually a misnomer. Money – currency – is not traded in the
money markets. Because the securities that do trade there are short-term and highly liquid,
however, they are close to being money. Money market securities have three basic
characteristics in common:
They are usually sold in large denominations.
They have low default risk.
They mature in one year or less from their original issue date. Most money market
instruments mature in less than 120 days.
Money market transactions do not take place in any one particular location or building.
Instead, traders usually arrange purchases and sales between participants over the phone and
complete them electronically. Because of this characteristic, money market securities usually
have an active secondary market. This means that after the security has been sold initially, it is
relatively easy to find buyers who will purchase it in the future.
Another characteristic of the money markets is that they are wholesale markets. This
means that most transactions are very large, usually in excess of $1 million. The size of these
transactions prevents most individual investors from participating directly in the money
markets. Instead, dealers and brokers, operating in the trading rooms of large banks and
brokerage houses, bring customers together.
Despite the wholesale nature of the money market, innovative securities and trading
methods have been developed to give small investors access to money market securities.
The primary money market players are the U.S. Treasury, the Federal Reserve System,
commercial banks, businesses, investments and securities firms, and individuals.
The U.S. Treasury Department issues Treasury bills (often called T-bills). Short-term
issues enable the government to raise funds until tax revenues are received and such issues can
also be used to replace maturing issues.
The Federal Reserve is the Treasury's agent for the distribution of all government
securities. It uses Treasury securities to regulate money supply.
Commercial banks hold a larger percentage of U.S. government securities and are also the
major issuers of negotiable certificates of deposit (CDs), banker's acceptances, federal funds,
and repurchase agreements.
Many businesses buy and sell securities in the money markets.
Investment Companies
Large diversified brokerage firms are active in the money markets. These firms are very
important to the liquidity of the money market because they ensure that both buyers and sellers
can readily market their securities.
Finance companies raise funds in the money markets primarily by selling commercial
paper. They then lend the funds to consumers for the purchase of durable goods such as cars,
boats, or home improvements.
Property and casualty insurance companies must maintain liquidity because of their
unpredictable need for funds.
 Pension funds invest a portion of their cash in the money markets so that they can take
advantage of investment opportunities that they may identify in the stock or bond markets.
Individuals
When inflation rose in the late 1970s, the interest rates that banks were offering on
deposits became unattractive to individual investors. At this same time, brokerage houses began
promoting money market mutual funds, which paid much higher rates.
The advantage of mutual funds is that they give investors with relatively small amounts of
cash to invest access to large-denomination securities.
A variety of money market instruments are available to meet the diverse needs of
market participants. (See Table 1 for more information.)
Table 1
Money Securities and Their Markets
Money market Issuer Buyer Usual Secondary
securities maturity market
Treasury bills US government Consumers and 13 weeks, 26 Excellent
companies weeks, 1year
Federal funds Banks Banks 1 to 7days None
Repurchase Businesses and Businesses and 1 to 15 days Good
agreements banks banks
Negotiable Large money Businesses 14 to 120 Good
certificates of center banks days
deposits
Commercial paper Finance Businesses 1 day to270 Poor
companies and
businesses
Banker`s Banks Businesses 30 to 180 Good
acceptance days
Eurodollar Non-U.S. banks Businesses, 1 day to 1 Poor
deposits governments and year
banks
Treasury Bills
To finance the national debt, the U.S. Treasury Department issues a variety of debt securities.
The most widely held liquid security is the Treasury bill. Treasury bills have 91-day, 182-day,
or 12-month maturities.
The government does not actually pay interest on Treasury bills. Instead they are issued
at a discount from par (their value at maturity). The investor's yield comes from the increase
in the value of the security between the time it was purchased and the time it matures.
Treasury bills have virtually zero default risk because even if the government ran out of
money, it could simply print more to redeem them when they mature. The risk of unexpected
changes in inflation is also low because of the short term to maturity. The market for Treasury
bills is extremely deep and liquid. A deep market is one with many different buyers and
sellers. A liquid market is one in which securities can be bought and sold quickly and with low
transaction costs. Investors in markets that are deep and liquid have little risk that they will not
be able to sell their securities when they want to.
Federal funds are short-term funds transferred (loaned or borrowed) between financial
institutions, usually for a period of one day. The term federal funds (or fed funds) are
misleading. Fed funds really have nothing to do with the federal government. The term is a
holdover from when the fed funds market began in the 1920s and banks with excess reserves
loaned them to banks that needed them.
The Federal Reserve has set minimum reserve requirements that all banks must maintain
to ensure that they have adequate liquidity. To meet these reserve requirements, banks must
maintain a certain percentage of their total deposits with the Federal Reserve. The main
purpose for fed funds is to provide banks with an immediate infusion of reserves should they
be short. Banks can borrow directly from the Federal Reserve, but many prefer to borrow from
other banks so that they do not alert the Fed to any liquidity problems.
Repurchase agreements (repos) work much the same as fed funds except that nonbanks
can participate. A firm can sell Treasury securities in a repurchase agreement whereby the firm
agrees to buy back the securities at a specified future date. Most repos have a very short term,
the most common being for 3 to 14 days. There is a market, however, for one- to three-month
repos.
Government securities dealers frequently engage in repos. The dealer may sell the
securities to a bank with the promise to buy the securities back the next day. This makes the
repo essentially a short- term collateralized loan. Securities dealers use the repo to manage
their liquidity and to take advantage of anticipated changes in interest rates.
A negotiable certificate of deposit is a bank-issued security that documents a deposit
and specifies the interest rate and the maturity date. Because a maturity date is specified, a
CD is a term security as opposed to a demand deposit: Term securities have a specified
maturity date; demand deposits can be withdrawn at any time. A negotiable CD is also called
a bearer instrument. This means that whoever holds the instrument at maturity receives the
principal and interest. The CD can be bought and sold until maturity.
Commercial paper securities are unsecured promissory notes, issued by corporations
that mature in no more than 270 days. Because these securities are unsecured, only the largest
and most creditworthy corporations issue commercial paper. The interest rate the corporation
is charged reflects the firm's level of risk.
A banker's acceptance is an order to pay a specified amount of money to the bearer on a
given date. Banker's acceptances have been in use since the twelfth century. However, they
were not major money market securities until the volume of international trade ballooned in the
1960s. They are used to finance goods that have not yet been transferred from the seller to the
buyer.
Eurodollars
Many contracts around the world call for payment in U.S. dollars due to the dollar's
stability. For this reason, many companies and governments choose to hold dollars. Prior to
World War II, most of these deposits were held in New York money center banks. However, as a
result of the Cold War that followed, there was fear that deposits held on U.S. soil could be
expropriated. Some large London banks responded to this opportunity by offering to hold dollar-
denominated deposits in British banks. These deposits were dubbed Eurodollars
The Eurodollar depositors receive a higher rate of return on a dollar deposit in the
Eurodollar market than in the domestic market. At the same time, the borrower is able to
receive a more favorable rate in the Eurodollar market than in the domestic market. This is
because multinational banks are not subject to the same regulations restricting U.S. banks and
because they are willing and able to accept narrower spreads between the interest paid on
deposits and the interest earned on loans.

Word List
misnomer – невірна, хибна назва
default risk – ризик несплати, неплатоспроможності
issue – емісія, випуск цінних паперів
trading room – торгова зала, місце розташування торгів
brokerage house – брокерська контора, будинок
tax revenue – доходи від податків
to replace maturing issues – заміняти випуск цінних паперів, у яких наступив строк
погашення, виплати
money supply – грошова маса, пропозиція грошей, кількість грошей у обігу
to market securities – продавати, збувати цінні папери
mutual funds – пайові інвестиційні фонди,взаємні фонди, фонди взаємного
інвестування
to issue at a discount from par (their value at maturity) – випускати з дисконтом від
номінальної вартості
yield – дохід
to run out of sth. – закінчитися
to redeem – викупляти, погасити (облігацію, позику, борг)
transaction costs – витрати на обслуговування
federal funds – федеральні фонди, кошти
holdover – пережиток
reserve requirements – резервні вимоги
to alert – попереджати, (тут: перешкоджати діяльності)
nonbanks – небанківські організації
frequently engage – часто залучатися у діяльність
term security – строковий цінний папір
bearer – пред'явник
principal and interest – основна сума боргу і відсотки
unsecured promissory notes – незабезпечені векселі
creditworthy – кредитоспроможний
to balloon – роздуватися
to call for payment in dollars – вимагати оплату в доларах
money center banks – банківські центри
to expropriate – вилучати
dollar-denominated deposits – доларові депозити
to dub – називати
domestic market – внутрішній ринок
spread – різниця в ставках, відсотках, курсах

Exercise 3. Give Ukrainian equivalents to the following words and word-

combinations.
Misnomer - невірна, хибна назва, trading room - торгова зала, місце розташування торгів,
to replace maturing issues - заміняти випуск цінних паперів, у яких наступив строк
погашення, виплати, to market securities - продавати, збувати цінні папери, misleading –
вводить в оману, to have nothing to do with – не мати нічого спільного , dollar-denominated
deposits - доларові депозити, issued at a discount from par – випуск зі знижкою від
номінальної вартості, a deep market – розвинений ринок, large money center banks –
крупний банк, a holdover - пережиток, to alert - перешкоджати діяльності, nonbanks -
небанківські організації, a bearer instrument – документ на пред’явлення, creditworthy -
кредитоспроможний, a banker's acceptance – дозвіл банку, spread - різниця в ставках,
відсотках, курсах, a liquid market – ліквідний ринок, in excess - надлишок, commercial
paper securities – комерційні цінні папери, responded to the opportunity – враховуючи
можливості , multinational banks – міжнародні банки , mutual funds – пайові фонди ,
transaction costs – операційні витрати , unsecured promissory notes – незабезпечений
вексель, to expropriate - конфіскувати , repos – викупні угоди.

Exercise 4. Find in the text English equivalents to the following words and word-
combinations. Make up your own sentences using them.
Ризик несплати - default risk, емісія - issue, брокерська контора - brokerage house, доходи
від податків - tax revenue, грошова маса - money supply, збувати цінні папери - to market
securities, відсотковий дохід - yield, закінчитися (про гроші) - закінчитися, виплачувати
борг - to redeem, федеральні фонди - federal funds, вимоги щодо обов’язкового
резервування - reserve requirements, основна сума боргу і відсотки - principal and interest,
зростати - increase, рівень ризику - level of risk, грошове вливання - infusion of reserves,
утримувати певний відсоток від загальної кількості депозитів - maintain a certain
percentage of their total deposits, часто залучатися у діяльність - frequently engage,
забезпечена позика - collateralized loan, строковий цінний папір - term security, вимагати
оплату в доларах - to call for payment in dollars, отримувати більш сприятливу ставку -
receive a higher rate.

Central banks should give the growth of (broad) money supply

Exercise 5. Here are some word-combinations from the text. Match and translate them
into Ukrainian.
1. National c a. instrument
2. Bearer a b. costs
3. Treasury d c. debt
4. Transaction b d. bills
5. Repurchase f e. loans
6. Discount f. agreement

National debt – державний борг

bearer instrument - документ на пред’явлення
Treasury bills – казначейські облігації, векселя
transaction costs – витрати на обслуговування
repurchase agreement - викупні угоди
discount loans – дисконтний займ

Exercise 7. Match the terms with their definitions.

1. Treasury bills j a. market in which securities can be bought and sold
quickly and with low transaction costs
2. federal funds f b. a form of short-term borrowing for dealers in
government securities; the dealer sells the
government securities to investors, usually on an
overnight basis, and buys them back the following
day
3. liquid market a c. market with many different buyers and sellers
4. repurchase d. a time deposit, a financial product commonly offered
agreements to consumers in the United States by banks, thrift
(repos) b institutions, and credit unions; it is similar to savings
accounts in that they are insured and thus virtually
risk free; they are "money in the bank"
5. deep market e. a short-term debt instrument issued by a firm that is
guaranteed by a commercial bank
6. negotiable f. these non-interest bearing deposits are lent out at the
certificate of d Fed funds rate to other banks unable to meet
deposit overnight reserve requirements
7. demand deposit h g. an unsecured, short-term debt instrument issued by a
corporation, typically for the financing of accounts
receivable, inventories and meeting short-term
liabilities
8. banker's h. a bank deposit that can be withdrawn without advance
acceptance e notice
9. commercial paper i. United States dollar held as Eurocurrency
securities g
10. Eurodollars i j. a short-term debt obligation backed by the U.S.
government with a maturity of less than one year
11. Bearer m k. the price paid for borrowing money; it is expressed as
a percentage rate over a period of time and reflects
the rate of exchange of present consumption for
future consumption
12. reserve requirement l. the amount borrowed or the amount still owed on a
n loan, separate from interest
13. Principal l m. the owner of a security or other instrument, one who
holds a security with no ownership information,
automatically makes him the presumed owner
14. Interest k n. a central bank requirement that stipulates the
minimum amount of reserves each bank must hold as
a proportion of customer deposits and notes

Exercise 9. Complete the chart.

 Money Market

Money Market Instruments

1. Treasury bills Money Market Participants
1.
2. Federal funds
3. Repurchase agreements 2.
3.
4. Negotiable certificates of 4.
deposits 5.
6.
5. Commercial paper 7.
6. Banker`s acceptance 8.
9.
7. Eurodollar deposits

Characteristics of Money
Market Instruments
1. They are usually sold in
large denominations
2. They have low default
risk
3. They mature in one year
or less from their original
issue date.

Exercise 10. Check your knowledge of the money market. Answer these questions.
1. Why
2. is the term money market a misnomer? Money – currency – is not traded in the
money3.markets. Because the securities that do trade there are short-term and highly liquid,
however, they are close to being money.
2. What characteristics do money market securities have in common? They are usually
sold in large denominations.They have low default risk. They mature in one year or less from
their original issue date. Most money market instruments mature in less than 120 days.
3. What are the main characteristics of money market? money market securities
usually have an active secondary market. This means that after the security has been sold
initially, it is relatively easy to find buyers who will purchase it in the future.
4. Who participates in the money markets? The primary money market players are
the U.S. Treasury, the Federal Reserve System, commercial banks, businesses, investments
and securities firms, and individuals.
 5. What role does Treasury Department play on the money market? The U.S.
Treasury Department issues Treasury bills (often called T-bills). Short-term issues enable
the government to raise funds until tax revenues are received and such issues can also be
used to replace maturing issues.
6. Which of the money market securities are the most liquid and considered the most
risk-free? Why? Property and casualty insurance companies must maintain liquidity
because of their unpredictable need for funds. Investment Companies Large diversified
brokerage firms are active in the money markets. These firms are very important to the
liquidity of the money market because they ensure that both buyers and sellers can readily
market their securities.
7. Who issues federal funds? What is the usual purpose of these funds? Banks.
Federal funds are short-term funds transferred (loaned or borrowed) between financial
institutions, usually for a period of one day.

8. Does the Federal Reserve directly set the federal funds interest rate? The Federal Reserve
has set minimum reserve requirements that all banks must maintain to ensure that they have
adequate liquidity.
9. What is a repo? What is it main use? Repurchase agreements (repos) work much the
same as fed funds except that nonbanks can participate. Government securities dealers
frequently engage in repos. The dealer may sell the securities to a bank with the promise to
buy the securities back the next day.
10. What is the difference between a repo and federal funds? The federal funds rate is
always higher than the repo rate because there is no collateral backing federal funds
borrowing. Since these loans are unsecured, banks only lend out to other banks that they
deem creditworthy
11. Why is a CD opposed to a demand deposit? a CD is a term security as opposed to a
demand deposit: Term securities have a specified maturity date; demand deposits can be
withdrawn at any time.
12. Who issues commercial paper and for what purpose? issued by corporations that mature
in no more than 270 days. Because these securities are unsecured, only the largest and most
creditworthy corporations issue commercial paper.
13. Why are banker's acceptances so popular for international transactions? A bankers
acceptance is used for international trade as means of ensuring payment. 
14. What are the main advantages of the Eurodollar market? the eurodollar market features
high interest rates and more flexibility on maturities. Furthermore, it is also the largest
market for short-term funds.
Bonds
Capital Marker Instruments
Firms and individuals use the money markets primarily to warehouse funds for short
periods of time. By contrast, firms and individuals use the capital markets for long-term
investments.
Types of Bonds
Bonds are securities that represent a debt owed by the issuer to the investor. Bonds
obligate the issuer to pay a specified amount at a given date, generally with periodic interest
payments. The par, face, or maturity value of the bond is the amount that the issuer must pay
at maturity. The coupon rate is the rate of interest that the issuer must pay. Look at Figure 1.
The face value of the bond is given in the top right corner. The interest rate, along with the
maturity date, is reported several times on the face of the bond.
The interest rate, along with the maturity date, is reported several times on the face of
the bond.

Figure 1.
Long-term bonds traded in the capital market include long-term government notes and
bonds, municipal bonds, and corporate bonds.
Bonds are loans from the bondholder (buyer) to the issuer (seller). A bond is a promise
by the issuer to pay back the amount loaned to it (called principal) plus an agreed to amount
of interest on or before a stated date. The interest may be paid periodically during the life of
the loan or all at once when the loan is paid back. Bonds are also called fixed income
instruments, because the amount of income that the bond will generate is fixed by the stated
interest rate of the bond. The date when the loan becomes due is called the maturity date of
the bond. The loan is represented by a physical piece of paper and if it pays interest
periodically during the life of the loan, the certificate may also consist of coupons.
Coupons are detachable from the bond certificate itself, usually by a perforation, and are
presented to the paying agent of the issuer, usually a commercial bank, for payment. For this
reason they are called coupon bonds. While coupon bonds are no longer widely used, the
amount of interest that a bond pays is still known as the coupon rate and the bond is still
known as a coupon bond.
Bonds are also identified by the way they are owned. Bearer bonds, for example, belong
to the person who holds them and ownership is not otherwise recorded. Eurobonds are
issued in this format. While this form of ownership carries the risk of loosing the certificate, it
offers the highest degree of anonymity and that is why in some countries, the United States
for example, they are no longer allowed.
The other common type of format is a fully registered bond, either in certificate form or
in book entry. The owner’s name is recorded with a transfer agent and interest payments are
made either by check or electronic credit. The book entry method, where no certificate is
issued and ownership is recorded in a ledger, is growing in popularity because it reduces
transfer costs, simplifies handling, and decreases the probability of loosing the certificate or
having it stolen.
 Treasury Bonds. The U.S. Treasury issues notes and bonds to finance the national debt. The
difference between a note and a bond is that notes have an original maturity of 1 to 10
years while bonds have an original maturity of 10 to 20 years. Table 1 summarizes the
maturity differences among Treasury securities.

Table 1. Bond terminology.

Type Maturity
Treasury bill Less than 1 year
Treasury note 1 to 10 years
Treasury bond 10 to 20 years
Federal government notes and bonds are free of default risk because the government
can always print money to pay off the debt if necessary. This does not mean that these
securities are risk-free. Treasury bonds have very low interest rates because they have no
default risk. Most of the time the interest rate on Treasury notes and bonds is above that on
money market securities because of interest-rate risk.
Municipal bonds are securities issued by local county and state governments. The
proceeds from these bonds are used to finance public interest projects such as schools,
utilities, and transportation systems. Municipal bonds are issued to pay for essential
public projects. This allows the municipality to borrow at a lower cost because investors
will be satisfied with lower interest rates on tax-exempt bonds.
There are two types of municipal bonds: general obligation bonds and revenue
bonds.
Corporate Bonds. When large corporations need to borrow funds for long periods of
time, they may issue bonds. Most corporate bonds have a face value of $1000 and pay interest
semiannually (twice per year). Most are also callable, meaning that the issuer may redeem the
bonds after a specified date.
The bond indenture is a contract that states the lender's rights and privileges and the
borrower's obligations. Any collateral is offered as security to the bondholders. The degree of
risk varies widely among issues because the risk of default depends on the company's health,
which can be affected by a number of variables. The interest rate on corporate bonds varies
with the level of risk. Bonds with lower risk and a higher rating (AAA being the highest) have
lower interest rates than more risky bonds (BBB). A bond's interest rate will depend on its
features and characteristics, which are described in the following sections. (see the Table1 in
Annex VI).
Conversion. Some bonds can be converted into shares of common stock. This feature
permits bondholders to share in the firm's good fortunes if the stock price rises. Most
convertible bonds will state that the bond can be converted into a certain number of
common shares at the discretion of the bondholder. The conversion ratio will be such that the
price of the stock must rise substantially before conversion is likely to occur.
Variable-rate bonds (which may be secured or unsecured) are a financial innovation
stimulated by increased interest-rate variability in the 1980s and 1990s. The interest rate on
these securities is tied to another market interest rate, such as the rate on Treasury bonds,
and is adjusted periodically. The interest rate on the bonds will change over time as market
rates change.
 Junk Bonds
Speculative-grade bonds are often called junk bonds. Before the late 1970s, primary
issues of speculative-grade securities were very rare; almost all new bond issues consisted of
investment-grade bonds. However, when companies ran into financial difficulties, their bond
ratings would fall. Holders of these downgraded bonds found that they were difficult to sell
because no well-developed secondary market existed. It is easy to understand why investors
would be leery of these securities, as they were usually unsecured.

Exercise 3. Give Ukrainian equivalents to the following words and word-combinations.

Capital markets - Ринки капіталу,
mortgage, - іпотека
capital structure, - структурп капіталу
proceeds of the sale, - доходи від продажу
to reach maturity, - досягти терміну погашення
exchange’s board, - рада правління біржі
the coupon rate, - ставка купона
claim on the assets, - право на активи
fixed income instruments, - інструменти з фіксованим доходом
bearer bonds, - облігація на пред’явника
ledger, - книга обліку
Treasury notes, - казначейські білети
municipal bonds, - муніципальні облігації
callable, - підлягає викупу
number of variables, - велика кількість факторів
to be leery of the securities,- підозріло ставитися до цінних паперів
to stimulate by increased interest-rate variability,- стимулювати збільшенням мінливості
процентної ставки,
to share in the firm’s fortunes, - мати частку в прибутку компанії
Treasury bonds, - казначейські облігації
general obligation bond, - облігації загального зобов’язання, випущені адміністрацією
штату, або муніципалітетом звільнені від оподаткування
conversion ratio, - коефіцієнт конвертації,
to pay interest semiannually, - виплачувати відсотки раз на півроку
at the discretion of the bondholder,- на розсуд власника облігації,
perforation.- перфорація

Exercise 4.
Іменна облігація, registered bond
бездокументарний метод реєстрації активів, book entry method
фінансувати своє зростання за рахунок боргових зобов’язань або акцій, finance the
growth with debt or equity
наступні продажі, subsequent sales
володіння акціями, holdings of stock
для забезпечення ефективної та правової роботи біржі,
номінальна вартість, to ensure the efficient and legal operation of the exchange
довгострокові державні цінні папери та облігації, long-term government notes and bonds
найвищий ступінь анонімності, highest degree of anonymity
виплата відсотків проводиться за допомогою чеку або їх записом на поточний рахунок
власника, виплата (погашення), interest payments are made either by check or electronic
credit
облігація забезпечена доходами від певного об’єкту, revenue bond
облігації з заниженим рейтингом; downgraded bonds
контракт на випуск облігацій, bond indenture
облігація акціонерної компанії,
облігації, звільнені від оподаткування, general obligation bond
високоприбуткова, але дуже ризикована облігація, junk bond
власник облігації, bondholder
облігація на пред’явника, bearer bond
облігація із змінною ставкою. variable-rate bond