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5 March, 04:20

are unsecured obligations that are not tied to specific assets for collateral. a. Bearer bonds b. No-load stocks c. Penny stocks d. Junk bonds

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  1. 5 March, 07:52
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    The correct answer is letter "D": Junk bonds.

    Explanation:

    A junk bond is a debt security that is poorly rated because it has a high default risk. Junk bonds are also called high-yield or speculative bonds. These are considered riskier investments than higher-rated bonds and thus offer a higher interest rate per year.

    Junk bonds can be issued by corporations or governments and have a principal amount, maturity date, and coupon but they are not linked to specific assets as collateral.
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