Corporate Bonds are a type of financial instrument used by companies to raise capital for various purposes such as reinvesting in their operations, acquiring other businesses, or paying off existing debts. These bonds are a popular investment option for individuals looking for fixed income securities. They offer a steady stream of income through regular interest payments, and are relatively less risky compared to stocks. In the world of finance, understanding the basics of corporate bonds is crucial for making informed investment decisions. Let us delve deeper into their features and functioning.