Bearer bond
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Transferable securities.
A bearer bond is a bond/security that is not registered in the name of a specific owner. The owner of the bond is the person who holds it. Thus, title to the bearer bond is transferred through delivery.
Principal and interest were historically paid, upon presentation of coupons, to a paying agent. Nowadays bearer bonds usually operate by book entry, whereby investors buy and sell their interests in a global note representing the entire issue and held within the clearing system.
