corporate bond in bd

5. Types of bond in Bangladesh
Five specific bond markets
1.Corporate
2.Government & Agency
3.Municipal
4.Mortgage Backed, Asset Backed, and
Collateralized Debt Obligation

6. What is corporate bond ?
● Bebt security issued by a corporation and sold to
investors
● To raise financing for a variety of reason
● Usually applied to longer-term debt instruments

8. Corporate Bond Market of Bangladesh
★ Two major sources of financing are the banks and capital market
★ Equity financing from capital markets by issuing new share
★ Debt financing through issuing corporate bonds which is almost nonexistent.

9. Reasons for Non-existence of Corporate Bond Market
❏ High interest rate is a barrier to the corporate bond market
❏ Absence of secondary bond market is a major reason for non-existence of corporate
bond market in Bangladesh
❏ Lack of awareness and education deter to attract right issuers and investors in the
corporate bond market
❏ Lack of knowledge-based trading even for government bonds is an important reason
for inactive corporate bond market

10. ➢Issuer
➢Investor
➢Intermediaries