Q320
Type of bonds issued by governments outside home country of issuer of bond are classified as
A.
outside bonds
B.
foreign bonds
AnswerC.
issuing country bonds
D.
denominated bonds
Answer: Option B
Solution
Answer: Option B
Solution:
Type of bonds issued by governments outside home country of issuer of bond are classified as foreign bonds. A foreign bond is a bond issued in a domestic market by a foreign entity in the domestic market's currency as a means of raising capital. For foreign firms doing a large amount of business in the domestic market, issuing foreign bonds, such as bulldog bonds, Matilda bonds, and samurai bonds, is a common practice.