Although commercial paper is unsecured, the companies that issue this short-term security are:

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Commercial paper is usually issued by large firms with top credit quality, meaning they have a solid reputation for repaying their debts. These firms are viewed as low-risk investments, which is why commercial paper typically offers lower yields than other types of short-term securities. Small firms may also issue commercial paper, but they tend to have higher yields because they are considered riskier investments. Although commercial paper is unsecured, the creditworthiness of the issuer is the main factor to consider when investing in this type of security.

Although Commercial Paper Is Unsecured, the Companies That Issue This