A key reason issuers choose to list debt securities on a stock exchange is to gain access to a wide group of investors, and to increase their marketability.
Listing means the admission of securities of a company to trading on a stock exchange. Listing is not compulsory under the Companies Act 2013/1956. It becomes necessary when a Public Limited Company wants to issue shares or debentures to the public.
The debt market is a platform where debt securities are traded by investors. These securities are issued by companies and the government authorities to raise capital for business operations, infrastructure development, and other projects.
A debt security is a debt instrument that can be bought or sold between two parties and has basic terms defined, such as the notional amount (the amount borrowed), interest rate, and maturity and renewal date.
Just like shares are listed on the stock exchange, debt securities are also listed on a stock exchange.
On a T+3 basis) specifies that the listing of debt securities and Non-convertible Redeemable Preference Shares (NCRPS) issued through public issue process shall be completed within T+6 working days from the date of closure of the issue.
Public debt securities are publicly traded fixed income securities that can be assigned different credit ratings based on the creditworthiness of the issuers. Investment grade securities: Bonds issued by stable companies with a low risk of default.