An agent of a bond issuer who handles the administrative aspects of a loan and ensures that the borrower complies with the terms of the bond indenture is called a
A) Registrar.
B) Transfer agent.
C) Trustee.
D) None of the above.

Question

Quizplus · Accepted Answer

A trustee acts as a representative for bondholders and is responsible for administering the bond issue, ensuring that the borrower complies with the terms of the bond indenture, and enforcing bondholders' rights. Registrars and transfer agents are responsible for maintaining and updating bondholder information, but they do not have the administrative responsibilities of a trustee.

An Agent of a Bond Issuer Who Handles the Administrative