Question

Explain different types of international financial market instruments by course hero

Answer 1

The different types of international financial instruments are:

*Euro bonds and foreign bonds – They are subject to regulations of the government in the country where the bonds are issued and are written by the underwriters of that country. Euro bonds can be underwritten by underwriters of various nationalities.

*Straight bonds – This bond has a fixed rate that is called coupon rate.

*Global bonds – They can be offered within the Euro and several other markets simultaneously.

*Cocktail bonds – They are denoted in a wide range of currencies.

*Convertible bonds – These bonds can be converted into equity shares.

*Floating rate bonds – These bonds do not have a fixed rate of interest.