Secured bonds are a financial instrument used by corporations and governments to raise capital through the issuance of debt. These bonds are backed by collateral or physical assets, providing a level of security for investors. This allows entities to obtain funding from the market at a lower cost compared to other financing options. In the event of default, the assets backing the bond can be seized by investors as compensation. Secured bonds are a popular choice for risk-averse investors seeking a stable return on their investment.
