Debt Securities

Debt-security questions on the Series 7 combine product knowledge with pricing, yield, risk, and settlement mechanics. This chapter organizes that material into a teaching-first bond sequence instead of a deep outline mirror.

Read it from fundamentals through trading if you want a full bond refresher, or jump directly to yields, valuation, or settlement when you need targeted review on exam-heavy calculations and conventions.

In this section

• Bond Fundamentals
  Understand what bonds represent, how issuers borrow, and which core features drive value and risk.
• Types of Debt Securities
  Compare major debt-security categories, including corporate, government, municipal, foreign, and zero-coupon bonds.
• Bond Yields and Risks
  Review nominal, current, maturity, and call yields together with credit, interest-rate, and inflation risk.
• Bond Pricing and Valuation
  Study accrued interest, premium and discount pricing, duration, convexity, and other valuation concepts.
• Bond Trading and Settlement
  Learn secondary-market bond trading, settlement conventions, quotations, and reporting expectations.