A debenture is:

A) The legal agreement between a bond's issuer and the bondholders.
B) Unsecured debt which generally has a maturity of 10 years or more.
C) A bond which pays payments to whoever has physical possession of the bond.
D) A secured bond which is backed by specifically-named collateral.
E) An agreement whereby actions of the issuer are limited for the protection of the bondholders.

Debenture

A type of debt instrument that is not secured by physical assets or collateral but based on the creditworthiness and reputation of the issuer.

Unsecured Debt

A type of debt or general obligation that is not protected by a guarantor, or collateralized by a lien on specific assets of the borrower.

Maturity

The time at which payment to a bondholder is due from the issuer, according to the bond's terms.