rhizoverbBeta
DictionarybondDebt investment
noun

bond

A legally enforceable promise securing an obligation.

The city issues a bond to help finance the bridge.

Etymology
bondOld Norsebinding or tie

Old Norse band named a binding or tie. A legal bond binds a person to an obligation, transferring a physical restraint into an enforceable promise.

More examples

  • His family posted bond that afternoon.
  • The contractor provides a bond guaranteeing the work.
  • She bought several government bonds.

Forms

bond · bonds

Similar words

security
A broader category of tradable financial instruments.
note
Another debt instrument, often with different terms or duration.