What are the conditions imposed on a debt issuer that are designed to protect bondholders called?

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asked Dec 8, 2018 2.9k views

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Naresh Babu · Answer 1 · 2018-12-13T14:43:52+0000

I think the answer would be protective covenants. They are agreements of between the bondholders and the credit issuer that are set for the issuer protecting the bondholders by limiting the actions of the issuer that he takes during the period of the loan.

What are the conditions imposed on a debt issuer that are designed to protect bondholders called?

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