A Eurobond investor prefers this market to the Yankee bond market because:

Question

Quizplus · Accepted Answer

Eurobonds are typically issued in bearer form, which means that the physical possession of the bond is the only evidence of ownership. This contrasts with registered bonds, where ownership is recorded by the issuer or its agent. Bearer bonds can be transferred more easily, making them attractive to investors who value privacy and ease of transfer. Yankee bonds, issued in the U.S. by foreign entities, are usually registered and subject to U.S. tax laws, making Eurobonds in bearer form more appealing for those looking to avoid direct taxation and seeking anonymity in ownership.

A Eurobond Investor Prefers This Market to the Yankee Bond