How about starting a thread to explain all the debt instruments out there. Just a quick description, short term/long term, actively traded in secondary market, common uses. I’ll start Certificate of deposits: issued by banks. Repay a certain ammount plus interest. Negotiable CD’s are actively traded in secondary markets. Commerical paper: short term unsecured debt instrument used by corp to borrow money at lower than bank rates. Usually issed mat < 270 days. Is treated like a zero coupon bond, at discount. Bankers acceptance: guaranteed by a bank that a loan will be paid. Used mainly by importers/exporters. No real secondary market. Is essentiall a promise by a bank to pay a certain ammount.