Are corporate bonds secured by creditor's rights?

Corporate bonds are usually unsecured. Mortgage guarantee means that the debtor or the third party mortgages the property to the creditor in order to guarantee the performance of the debt without transferring the ownership of the property. Corporate bonds are ordinary creditor's rights and are generally unsecured.

legal ground

Article 386 of the Civil Code

Unless otherwise provided by law, when the debtor fails to perform the due debt or the security interest agreed by the parties is realized, the holder of the security interest has the right to be paid in priority for the secured property.

Article 394

In order to ensure the performance of the debt, if the debtor or a third party mortgages the property to the creditor without transferring the possession of the property, if the debtor fails to perform the due debt or realize the mortgage according to the agreement of the parties, the creditor has the right to be compensated in priority for the property.

The debtor or the third party specified in the preceding paragraph is the mortgagor, the creditor is the mortgagee, and the property that provides guarantee is the mortgaged property.

Article 153 of the Company Law of People's Republic of China (PRC)

The term "corporate bonds" as mentioned in this Law refers to the securities issued by the company according to legal procedures and agreed to repay the principal and interest within a certain period of time.

The issuance of corporate bonds by a company shall conform to the issuance conditions stipulated in the Securities Law of People's Republic of China (PRC).