Definition

1. Noun:
   • A person or entity that owns a bond: A bondholder is an investor who holds a debt security (a bond) issued by a corporation, government, or other organization. By owning the bond, the bondholder is a creditor to the issuer and is entitled to receive periodic interest payments and the return of the bond's face value at maturity.

Usage

• The term is used to identify an individual or institutional investor in the context of finance, investing, and corporate or public debt.
• It specifies the relationship of being a creditor who has loaned money by purchasing a bond, as opposed to a shareholder who owns equity.

Examples

• Noun:
  • The company's restructuring plan required approval from a majority of its bondholders.
  • As a bondholder, she received her interest payment every six months.
  • Municipal bondholders are often interested in tax-exempt income.

Advanced Usage

• "Senior bondholder": A bondholder whose debt has a higher priority for repayment in the event of the issuer's bankruptcy or liquidation compared to other creditors.
  • Senior bondholders were paid in full before junior debt holders received anything.
• "Bondholder rights": The legal and contractual protections and entitlements granted to the owner of a bond.
  • The indenture document outlines the specific bondholder rights.

Variants and Related Words

• Bondholding (n): The act or fact of holding bonds; the bonds held.
  • His extensive bondholding provided a stable income.
• Debtholder (n): A more general term for a creditor who holds any form of debt instrument, which includes a bondholder.
• Creditor (n): A party to whom money is owed. A bondholder is a specific type of creditor.

Synonyms

• Debtholder: A holder of debt securities.
• Creditor: A person or company to whom money is owed.
• Investor: A general term for someone who allocates capital with the expectation of a financial return (a bondholder is a type of investor).

Related Phrases

• "Bondholder meeting": A gathering where bondholders discuss matters related to their bonds, such as changes to the terms.
  • A bondholder meeting was called to vote on the proposed debt exchange.
• "Protect bondholder interests": Actions taken to safeguard the financial and legal rights of those who own bonds.
  • The trustee's role is to protect bondholder interests.

Noun

1. a holder of bonds issued by a government or corporation