A holder of ________ has generally no charge over the issuing company's unpledged assets.
A) a debenture
B) a subordinated debenture
C) a floating charge debenture
D) an unsecured note

Question

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An unsecured note is a type of debt security that is not backed by any collateral, which means that the holder does not have any charge over the issuing company's unpledged assets. This is in contrast to a debenture, which is a type of bond that is secured by the company's assets or a floating charge debenture which creates a floating charge over the assets of the company. A subordinated debenture is a type of bond that is lower in priority than other debts in the event of bankruptcy, but it is still secured by the assets of the company.

A Holder of ________ Has Generally No Charge Over the Issuing