Eurobond

Eurobond is a type of coupon bond issued generally as bearer bonds by governments or corporations in a currency, other than TL, simultaneously in several countries via a bank or a syndicate of banks or through an international consortium.

Eurobond maturity is generally between 5 and 30 years. Eurobond coupon payment frequency may be 6 or 12 months, and in general, USD Eurobonds are issued with semi-annual coupon payments, while EURO Eurobonds are issued with annual coupon payments. Coupon interest rates may be variable, but are generally fixed. Eurobonds are not physically delivered. USD Government Eurobonds are traded with “date of transaction + 1 business day” value date, other Eurobonds are traded with “date of transaction + 2 business days” value date in secondary market. Trades are mostly settled via foreign custodian (settlement and clearing) banks. Eurobonds of our customers are kept in Euroclear in the name of Burgan Bank, and in our Bank in the name of our customer. It is fit and convenient for investors thinking to invest their savings in foreign currency in long-term.