A type of stock that makes fixed payments at scheduled intervals of time. Debenture stock differs from a debenture in that it has the status of equity, not debt, in liquidation. Bloomberg Financial Dictionary
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A form of loan stock legally defined as the written acknowledgement of a debt incurred by a company, normally containing provisions about the payment of interest and the eventual repayment of capital. They may be secured by a floating charge on the company's assets or they may be tied to specific, named assets. This means that if the company goes into liquidation then debenture holders are more likely to get payment because the company's assets will be sold and the proceeds will be distributed to them first before other stock and share holders. Financial Services Glossary
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debenture stock UK US noun [C or U]
► FINANCE, STOCK MARKET a type of stock or share in which the owner receives regular payments of interest instead of dividends
Financial and business terms. 2012.