What kind of corporate debt must be secured by real property?

Question

Quizplus · Accepted Answer

Mortgage bonds are a type of corporate debt that must be secured by real property. These bonds are backed by a specific property, such as a building or land, which serves as collateral in case the issuing company defaults on its payments. This provides a higher level of security for bondholders compared to unsecured debt or debentures, which are not backed by any specific asset. Notes and asset-backed bonds can also be secured by real property, but this is not always the case.

What Kind of Corporate Debt Must Be Secured by Real