Individual Bonds

Individual Bonds are funds loaned out to individuals or corporate entities over a given period of time. Upon maturity, interest and the principle amount is paid back by the borrower. The amount of interest payable is determined by the borrower and sold in share bundles. The interest rate is either paid daily, weekly, monthly or annually or over a number of years as determined by the issuers of shares. Issuers of bonds vary from individual corporate entities to government around the world. According to fidelity.com "A bond is an interest-bearing security that obligates the issuer to pay the bondholder a specified sum of money, usually at specific intervals (known as a coupon), and to repay the principal amount of the loan at maturity. Zero-coupon bonds pay both the imputed interest and the principal at maturity." bucuresti, Romania