Performance bond and Simple annuity: Difference between pages

Revision as of 14:20, 23 October 2012

A fixed periodic cash flow which usually continues for a defined number of periods only.

@@ Line 1: / Line 1: @@
-''Trade finance''.
+A fixed periodic cash flow which usually continues for a defined number of periods only.
-A bond is an instrument issued by a bank or an insurance company, in favour of a buyer, on behalf of a supplier, as additional assurance to the buyer that the supplier will perform its obligations under the supply contract.
+== See also ==
+* [[Annuity]]
-Such a bank bond or insurance company bond will be supported by an indemnity issued by the supplier in favour of the bank or insurance company.
+* [[Perpetuity]]
-A performance bond can be called by the buyer in the event of any contract delays or defects in the supplier's performance of the contract.
-== See also ==
-* [[Bond]]
-* [[Indemnity]]