More Related Content Similar to What are bonds and how do they work Similar to What are bonds and how do they work (20) More from Casey Robertson More from Casey Robertson (20) What are bonds and how do they work6. BondsAre loans made by the investor to the
issuer; the investor is repaid with
interest
These Bonds
Not this Bond
7. This MeansYOU loan your money to a company, city, or a government.
THEY promise to pay you back in full, with interest.
9. MONEY
B o n d s a r e i s s u e d b e c a u s e
Companies and Governments need
16. U.S. Savings
BondsBonds issued U.S. Government that
earn interest, and after a set time the
bond can be cashed in for its original
value plus the interest.
21. Maturity
The date on which the face value of a
bond becomes due and is repaid to the
investor and interest payments stop is the
Date