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Conflict between bondholders and stockholders

• These two groups may have interests in a corporation that conflict. Sources of conflict include dividends, distortion of investment, and underinvestment. Protective covenants work to resolve these conflicts.

 
 

Follow this link for all the terms related to bondstock.

 
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 Corporation
Covenants
Dividends
Protective covenant

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Getting Your Finances Ready for Your Golden Years: If you're seriously considering retirement, you also should be seriously thinking about how to ensure that your financial life is as comfortable and stress-free as possible. Here are a few tips. More...

To handle yourself, use your head; to handle others, use your heart. Donald Laird

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