bond
A documentary obligation to pay a sum or to perform a contract; a debenture.
Example
“Investors face a quandary. Cash offers a return of virtually zero in many developed countries; government-bond yields may have risen in recent weeks but they are still unattractive. Equities have suffered two big bear markets since 2000 and are wobbling again. It is hardly surprising that pension funds, insurers and endowments are searching for new sources of return.”
Other meanings
A partial payment made to show a provider that the customer is sincere about buying a product or a service. If the product or service is not purchased the customer then forfeits the bond.
A physical connection which binds, a band.
“The prisoner was brought before the tribunal in iron bonds.”
Related words
- boor
- bower
Example sentences
Word history
From Old English "beand".
Where this comes from
This definition is adapted from “bond” on Wiktionary, by its contributors; example sentences are from Tatoeba, credited to their authors above, published under CC BY-SA 4.0. This page is published under the same licence.