A type of debt security that is issued by a firm and sold to potential investors. In this system, the company receives the capital it needs, and the investors are paid a pre-established number of interest payments (with a fixed or variable interest rate). When the bond expires (or “reaches maturity”), payments cease and the original investment is returned to the initial investors.
We don't know everything about the markets. We're just devoted to learners. Taken from those smarter than ourselves, here's how we define Corporate Bond.