Question

what is the difference between debentures, bonds and equity funds? Compound the difference between all these with full elaboration.
This is a BST question of class 11​

Answer 1

Answer:

Bonds are backed by the asset of the issuer whereas debentures are not secured by any of the physical assets or collateral. Debentures are issued and purchased only on the creditworthiness and reputation of the issuing party. The interest rate of bonds is generally lower than debentures.