A bondholder is an individual or an organization that owns a bond issued by a corporation, municipality, or government. In essence, a bondholder is a lender who has lent money to the issuer of the bond. In return, the bondholder receives periodic interest payments and the principal amount of the bond at maturity.
Definitions
A bondholder is defined as someone who has purchased a bond and is entitled to receive interest payments and the principal amount of the bond at maturity. Bondholders are essentially creditors of the issuer of the bond.
Origin
The term bondholder has its roots in the word bond, which comes from the Old English word “bund,” meaning a binding or tying. The word bondholder first appeared in the English language in the mid-19th century.
Meaning in different dictionaries
According to the Merriam-Webster dictionary, a bondholder is “a person or entity that holds a bond issued by a corporation, government, or other organization.”
The Oxford English Dictionary defines a bondholder as “a person or organization that holds a bond, typically for investment purposes.”
Associations
Bondholders are associated with the world of finance and investing. They are typically individuals or organizations that are looking to invest their money in a relatively safe and stable asset.
Synonyms
Synonyms of bondholder include investor, creditor, and lender.
Antonyms
Antonyms of bondholder include debtor and borrower.
The same root words
The same root words as bondholder include bond, bind, and bound.
Example Sentences
- The bondholder received a steady stream of interest payments over the life of the bond.
- The company was able to raise capital by issuing bonds to bondholders.
- The bondholder was pleased with the return on investment provided by the bond.
- The bondholder decided to sell the bond before maturity to take advantage of a rise in the bond’s market value.