Characteristic Debt Security Type of Bond 1. May be converted into equity securities under certain conditions 2. Matures in stated amounts at regular intervals 3. Interest is dependent on market conditions 4. Repayable only after other debts have been paid 5. Secured by issuer's credit, not with assets 6. Interest is contingent on the issuer's profitability 7. May be repurchased before maturity 8. Requires no periodic cash payments 9. Interest is paid to whomever presents the bond