general obligation bond

简明释义

一般公债

英英释义

例句

1.Because general obligation bonds are considered low-risk, they often have lower interest rates compared to other types of bonds.

由于一般义务债券被认为是低风险的，它们通常比其他类型的债券利率更低。

2.The state plans to sell general obligation bonds to finance improvements to its transportation infrastructure.

该州计划出售一般义务债券以资助其交通基础设施的改善。

3.A general obligation bond is a popular way for local governments to raise funds for public projects.

对于地方政府来说，一般义务债券是为公共项目筹集资金的流行方式。

4.The city issued a new general obligation bond to fund the construction of a new library.

该市发行了一种新的一般义务债券以资助新图书馆的建设。

5.Investors often prefer general obligation bonds because they are backed by the full faith and credit of the issuing municipality.

投资者通常更喜欢一般义务债券，因为它们得到了发行市政当局的全部信任和信用的支持。

作文

In the world of finance, understanding different types of bonds is crucial for both investors and those looking to fund public projects. One important type of bond is the general obligation bond, which plays a significant role in municipal financing. A general obligation bond is a type of municipal bond that is secured by the issuing government's pledge to use its taxing power to repay bondholders. This means that the government commits to using tax revenues to ensure that the bondholders receive their interest payments and the principal amount upon maturity. This characteristic makes general obligation bonds relatively safe investments compared to other types of bonds, as they are backed by the full faith and credit of the issuing authority.When a city or state issues a general obligation bond, it typically does so to raise funds for public projects such as building schools, roads, and parks, or for other infrastructure improvements. The proceeds from these bonds can be critical for local governments that may not have sufficient funds available in their budgets. By issuing a general obligation bond, these governments can spread the cost of large projects over many years, allowing them to undertake necessary improvements without imposing an immediate financial burden on taxpayers.One of the key advantages of general obligation bonds is that they often come with lower interest rates than other forms of debt. This is because they are considered less risky; investors are more likely to feel secure investing in bonds that are backed by government taxation power. Additionally, the interest earned on general obligation bonds is often exempt from federal income tax, and in some cases, state and local taxes as well. This tax-exempt feature makes them particularly attractive to investors in higher tax brackets, as it effectively increases their after-tax return on investment.However, it is essential to recognize that while general obligation bonds are generally viewed as safer investments, they are not entirely without risk. If a municipality faces financial difficulties, such as declining revenues or increased expenditures, it may struggle to meet its obligations to bondholders. This could lead to a downgrade in the bond's credit rating, making future borrowing more expensive and difficult. Investors must consider the financial health and creditworthiness of the issuing government when investing in general obligation bonds.Moreover, the issuance of general obligation bonds can sometimes lead to political challenges. Voters may be required to approve the issuance of these bonds through a referendum, and public opinion can sway based on the perceived need for the funded projects. If the public does not support the necessity of the projects, they may vote against the bond issuance, thereby limiting the government's ability to finance important initiatives.In conclusion, general obligation bonds are a fundamental tool for municipalities looking to finance essential public projects. They provide a secure investment option for bondholders while allowing local governments to manage large expenditures over time. Understanding the mechanics and implications of general obligation bonds is vital for anyone involved in municipal finance or investment. As cities and states continue to face infrastructure challenges, the role of general obligation bonds will likely remain significant in addressing these needs and fostering community development.

在金融世界中，理解不同类型的债券对投资者和希望为公共项目融资的人来说至关重要。其中一个重要的债券类型是一般义务债券，它在市政融资中发挥着重要作用。一般义务债券是一种市政债券，由发行政府承诺使用其征税权力来偿还债券持有人的方式担保。这意味着政府承诺使用税收收入来确保债券持有人在到期时收到利息支付和本金。这一特性使得一般义务债券相比其他类型的债券来说，成为相对安全的投资，因为它们得到了发行当局的全部信任和信用的支持。当一个城市或州发行一般义务债券时，通常是为了筹集资金用于公共项目，如建设学校、道路和公园或其他基础设施改善。这些债券的收益对于那些可能在预算中没有足够资金的地方政府来说至关重要。通过发行一般义务债券，这些政府可以将大型项目的成本分摊到多年之中，使他们能够进行必要的改善，而不会对纳税人施加立即的财务负担。一般义务债券的一个主要优势是，它们通常比其他形式的债务具有更低的利率。这是因为它们被认为风险较低；投资者更有可能感到安全地投资于那些由政府征税权力支持的债券。此外，所赚取的一般义务债券的利息通常免于联邦所得税，在某些情况下也免于州和地方税。这一免税特性使得它们对高税率的投资者特别具有吸引力，因为它有效地提高了他们的税后投资回报。然而，必须认识到，尽管一般义务债券通常被视为安全的投资，但它们并非完全没有风险。如果一个市政当局面临财务困难，例如收入下降或支出增加，它可能会难以满足对债券持有人的义务。这可能导致债券信用评级的下调，从而使未来的借款变得更加昂贵和困难。投资者在投资一般义务债券时，必须考虑发行政府的财务健康和信用worthiness。此外，发行一般义务债券有时会导致政治挑战。选民可能需要通过公投来批准这些债券的发行，而公众舆论可能根据对资助项目的必要性的看法而波动。如果公众不支持这些项目的必要性，他们可能会投票反对债券的发行，从而限制政府为重要倡议融资的能力。总之，一般义务债券是市政当局寻求为重要公共项目融资的一项基本工具。它们为债券持有人提供了一种安全的投资选择，同时允许地方政府分阶段管理大额支出。理解一般义务债券的机制和影响对于任何参与市政融资或投资的人来说都是至关重要的。随着城市和州继续面临基础设施挑战，一般义务债券在解决这些需求和促进社区发展方面的作用可能仍将显著。