Which is more risky, corporate bonds or financial bonds?

Among financial bonds and corporate bonds, corporate bonds are more risky. Financial bonds refer to bonds issued by banks and other financial institutions. The policy is guaranteed by the state and has high security. Corporate bonds refer to bonds issued by enterprises in accordance with legal procedures and agreed to repay the principal and interest within a certain period of time. It is financially supported by the issuing company, so the risk is relatively high.

1. How is the issue price of corporate bonds determined?

There are several ways to determine the issue price of corporate bonds:

1. Bond denomination

The face value of a bond is the amount indicated in the bond market. Enterprises can diversify the face value of bonds according to the needs of different subscribers, including large face value and small face value.

2. coupon rate

Coupon rate can be divided into fixed interest rate and floating interest rate. Generally speaking, enterprises should decide which interest rate form and level to choose according to their own credit status, the company's affordability, the trend of interest rate change and the length of bond term.

3. Market interest rate

The market interest rate is the frame of reference to measure the coupon rate of bonds, and it is also the decisive factor to determine whether the bond price is issued at face value or at a premium and the at discount.

4. Term of bonds

The longer the term, the greater the risk of creditors, the higher the interest reward they demand and the lower the issue price.

Two. Are corporate bonds intangible assets?

Corporate bonds are intangible assets. Intangible assets refer to identifiable non-monetary assets that have no physical form and are owned or controlled by enterprises. Intangible assets can be divided into broad sense and narrow sense. Intangible assets in a broad sense include monetary funds, accounts receivable, financial assets, long-term equity investment, patent rights, trademark rights and so on. Because they have no material entity, they show some legal rights or technologies. Company's equity, bonds, etc. Completely conforms to the definition of intangible assets.

legal ground

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).

Article 155 of the Company Law of People's Republic of China (PRC)

Where a company issues corporate bonds in the form of physical coupons, the company name, face value of the bonds, interest rate, repayment period and other matters must be stated on the bonds, which shall be signed by the legal representative and sealed by the company.

Article 156 of the Company Law of People's Republic of China (PRC)

Corporate bonds can be registered bonds or bearer bonds.