Which of the following investments in NOT a debt obligation of the issuer?

Question

Quizplus · Accepted Answer

MPTs (Master Limited Partnerships) are not a debt obligation of the issuer. Instead, they are a type of investment that involves ownership stakes in public companies, typically in the energy sector, and operate as partnerships for tax purposes. Unlike CMOs (Collateralized Mortgage Obligations), MBBs (Mortgage-Backed Bonds), and potentially MPTBs (if referring to a type of bond or debt instrument), which are forms of debt where the issuer owes the investors payments, MPTs involve equity ownership and share in the profits and losses of the enterprise.

Which of the Following Investments in NOT a Debt Obligation