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Compound Bonds vs. Treasury & Corporate Bonds
Compound Bonds vs. Treasury & Corporate Bonds
Updated over 5 months ago

A US Treasury bond is government debt securities issued by the U.S. Federal government for the purposing of funding government operations and programs. Treasury Bonds have a maturity date varying from 1 year to 30 years. Similarly, a Corporate Bond is a bond issued by a company so it can raise capital to finance its growth and operations. Both Corporate and Treasury bond's unit price and interest rate can fluctuate because they are traded on the markets.

On the other hand, Compound Bonds invests a majority of bond proceeds towards real estate and real estate related debt, and not for own corporate financing. Unlike Treasury and Corporate bonds that are backed by intangible assets, Compound Bonds are backed by tangible cash generating real estate assets. Additionally, Compound Bond's price is fixed at $10 per bond, and the interest rate is locked at 8.50% APY.

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