Which one of the following best fits the description of a private placement?

Question

Quizplus · Accepted Answer

A private placement refers to the sale of securities to a limited number of investors who are not members of the general public. A 10-year loan from an insurance company would fit this definition as it involves a direct transaction between the borrower and the lender without involving the public markets. The other options involve loans or bonds that are either obtained from commercial banks or sold in the public markets, which does not qualify them as private placements.

Which One of the Following Best Fits the Description of a Private