Question

Securities sold in the United States to public investors must be registered with the SEC, and a prospectus disclosing detailed financial information about the issuer must be provided and made available to prospective investors. This encourages foreign borrowers wishing to raise U.S. dollars to use _________.a) the Eurobond market.

b) their domestic market.
c) bearer bonds.
d) none of the above

Answer 1

A. Eurobond Market

Step-by-step explanation:

Eurobonds are international bonds issued by European governments and companies but are denominated in a currency other than the issuer. They are also known as external bonds which are debt instruments denominated in a currency other than the home currency of the country it was issued at. The Externak bonds markets comprises of banks, borrowers, investors, trading agents and so on, all of whom who buys and sells in Eurobonds.