The ____ represents the debtholders in dealings with the issuing company.
A) trustee
B) stakeholders
C) broker
D) investment banker

Question

Quizplus · Accepted Answer

A trustee is a third-party representative responsible for protecting the interests of the debtholders (bondholders) in dealings with the issuing company. The trustee's role includes ensuring that the company fulfills its obligations under the bond contract, managing payments to bondholders, and overseeing the terms of the bond issuance. Stakeholders refer to any individual or group that has a vested interest in a company, including shareholders, employees, customers, and suppliers. Brokers and investment bankers are intermediaries involved in facilitating securities transactions but do not represent debtholders specifically.

The ____ Represents the Debtholders in Dealings with the Issuing