Debentures are long-term debt instruments issued by companies or governments to raise funds. Getting a debenture is equivalent to making a short-term loan to the issuer. In return, the issuer pays you regular interest, and at the end of the term, you receive the principal amount back. Debentures are often used by companies to raise capital for expansion or other purposes. They are considered a relatively safe investment option, offering a fixed income stream with a predictable return.
Debentures are long-term debt instruments issued by companies or governments to raise funds. Getting a debenture is equivalent to making a short-term loan to the issuer. In return, the issuer pays you regular interest, and at the end of the term, you receive the principal amount back. Debentures are often used by companies to raise capital for expansion or other purposes. They are considered a relatively safe investment option, offering a fixed income stream with a predictable return.