Whose responsibility is it to serve as the "watchdog" on behalf of the bondholders?

Question

Quizplus · Accepted Answer

The trustee is responsible for serving as the "watchdog" on behalf of the bondholders. They monitor the issuer's compliance with the terms of the bond agreement and ensure that the bondholders' rights are protected. The custodian is responsible for holding and safeguarding the physical assets that secure the bond, and Wall Street is a general term referring to the financial industry and does not have a specific role in monitoring bond issuances.

Whose Responsibility Is It to Serve as the "Watchdog" on Behalf