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Tatiana [17]
3 years ago
12

Frank riley just purchased a bond that is unsecured and is secondary to other unsecured bonds should the issuer declare bankrupt

cy. what type of bond has frank purchased?
Business
2 answers:
egoroff_w [7]3 years ago
5 0
<span>The type of bond Frank has purchased is "subordinated debenture".

</span>Other names or terms that are used for this type of bond are; subordinated<span> debt, </span>subordinated<span> loan, </span>subordinated bond,<span> or junior debt.
Subordinated debenture is a sort of bond that refers to an unsecured and gives bondholders a claim optional to that of other assigned bondholders concerning both salary and resources.
</span>
Dennis_Churaev [7]3 years ago
3 0
<span>Frank has purchased a subordinated debenture type of bond.
</span>Subordinated debenture is type of bond which ranks after other debts if a company falls into liquidation or bankruptcy. This type of loan is also <span>known as a junior security.</span>
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