Question

In primary bond markets, the method of allowing certain authorized issuers to offer additional bonds to the general public by preparing a single, all-encompassing offering circular is most likely known as a(n):

a) Secondary offering
b) Shelf offering
c) Bearer bond offering
d) Universal offering

Answer 1

In primary bond markets, the method of allowing certain authorized issuers to offer additional bonds to the general public by preparing a single, all-encompassing offering circular is most likely known as a shelf offering.

Step-by-step explanation:

The method of allowing certain authorized issuers to offer additional bonds to the general public by preparing a single, all-encompassing offering circular in primary bond markets is most likely known as a shelf offering. In a shelf offering, the issuer files a registration statement with the Securities and Exchange Commission (SEC) to establish a public offering of securities. This method gives issuers the flexibility to offer and sell securities over a period of time, rather than all at once.