Foreign Bond

Dictionary Says

Definition of 'Foreign Bond'

A bond that is issued in a domestic market by a foreign entity, in the domestic market's currency.
Investopedia Says

Investopedia explains 'Foreign Bond'

Foreign bonds are regulated by the domestic market authorities and are usually given nicknames that refer to the domestic market in which they are being offered.

Since investors in foreign bonds are usually the residents of the domestic country, investors find them attractive because they can add foreign content to their portfolios without the added exchange rate exposure.

Types of foreign bonds include bulldog bonds, matilda bonds, and samurai bonds.

Related Definitions

  • Bulldog Bond

    A type of bond purchased by buyers interested in earning a revenue stream from the British pound or sterling. A bulldog bond is traded in the United Kingdom. If the revenue is used to ...
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  • Eurobond

    A bond issued in a currency other than the currency of the country or market in which it is issued.
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  • Global Bond

    This type of bond can be traded in a domestic or European market. It is a bond issued and traded outside the country where a currency is denominated. This type of bond is issued by a ...
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    • International Bond

      Debt investments that are issued in a country by a non-domestic entity. International bonds are issued in countries outside of the United States, in their native country's currency. They ...
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    • Matador Bond

      A term used to identify a foreign bond issued in Spain by a company that is not domiciled in Spain. Matador bonds were bonds denominated in pesetas, and were usually corporate bonds. The ...
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    • Matilda Bond

      An bond denominated in the Australian dollar and issued on the Australian market by a foreign entity. Also known as a "kangaroo bond."
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    • Samurai Bond

      A yen-denominated bond issued in Tokyo by a non-Japanese company and subject to Japanese regulations. Other types of yen-denominated bonds are Euroyens issued in countries other than Japan.
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    • Yankee Bond

      A bond denominated in U.S. dollars that is publicly issued in the U.S. by foreign banks and corporations. According to the Securities Act of 1933, these bonds must first be registered ...
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    • Shogun Bond

      A type of foreign-currency denominated bond that is issued in Japan by foreign entities. Organizations such as the World Bank have issued such debt instruments in the past .Also known as ...
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    • Kangaroo Bond

      A type of foreign bond that is issued in the Australian market by non-Australian firms and is denominated in Australian currency. The bond is subject to Australian laws and ...
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