Bonds

Bond	Is a certificate of indebtedness issued by a corporation, government, municipality, not-for-profit, or other entity that wishes to raise capital. (Piece of paper saying government will borrow your money)
Savings Bonds	Saving bonds are non-marketable and can't be bought in the open market. They are mostly between marketer and investor.
Treasury Bonds	Treasury bonds are marketable they can be traded as security ties in the open market.
Corporate Bonds	Bonds lent to corporations in place of getting lent money from a bank.
Municipal Bonds	Offered by municipalities they are exempt from certain kinds of taxes and receive tax breaks.
Coupon Rate	A bonds interest rate.
Yield	The bid price and the coupon rate together that would (or could) bring you interest over the time period.
Bond Rating	A “letter score” assigned to a company based on financial responsibility it has demonstrated.
Issuer	Governing body or corporation borrowing your money.
Bid price	Tells you what others are willing to pay for the bond.
Face value/Par Value	The amount the issuer promises to pay once the bond reaches maturity.
maturity date	When you can claim your original investment.
Callable Bonds	Bonds can be called back, or redeemed, by the issuer after a certain period of time before the bond’s maturity date.
junk, or high-yield, bonds	Issued by corporations that want to borrow but do not have the credit rating necessary to borrow at a low rate of interest.
Convertible bonds	Those that change quickly when the economy does well.
Interest rate risk	The longer you hold a bond, the more likely it is that the market's interest rates will change significantly by the time the maturity date arrives.
Liquidity Risk	The investor's inability to sell a bond quickly and at an efficient price, as reflected in the bid-ask spread.
Default Risk	The probability that the bond issuer might fail to make the required payments of its principle or interest.
Repayment terms	The period from the starting point of credit to the final maturity of a transaction.
Secured bonds	Those that are backed by collateral or those that are backed by mortgage.
zero-coupon bonds	Bonds that pay no interest until maturity.