Asked by Chantal Barry on May 21, 2024
Verified
Eurobonds are denominated in a currency other than that of the country in which they are sold.
Eurobonds
are international bonds issued in a currency not native to the country where it is issued, offering companies the ability to raise capital in foreign markets.
Denominated
Specifies the currency in which a financial transaction or bond issue is expressed.
Currency
The system of money in general use in a particular country.
- Compare and contrast different financial vehicles and markets, namely foreign bonds, Eurobonds, and Eurodollar transactions.
Verified Answer
MS
Mahli ShaykhMay 24, 2024
Final Answer :
True
Explanation :
Eurobonds are called so because they are typically issued in a currency other than that of the country in which they are sold. For example, a German company may issue eurobonds denominated in US dollars, which can be sold in the United States or around the world.
Learning Objectives
- Compare and contrast different financial vehicles and markets, namely foreign bonds, Eurobonds, and Eurodollar transactions.