What you need to know about corporate bonds
Corporate bonds are simply a loan from the public to a company. You lend your money to a company, which pays you interest regularly, and at the end of the agreed period, you get back the money you lent.
For businesses seeking capital to finance growth initiatives, bill payments or acquisitions, corporate bonds are a critical instrument. In recent years, companies such as Safaricom and EABL have issued corporate bonds to raise capital.
Watch the video to learn more about corporate bonds and how they work.