DEBENTURES
A debenture represents the smallest unit of public lending to a company.  Like shares, they are represented in the form of a certificate.  The common face value for a debenture in India is Rs.100, and they are always issued at par.  Unlike an ordinary shareholder, a debenture holder assumes very little risk on his investment.  Unlike the uncertain stream o dividends, which a shareholder receives, a debenture holder receives a fixed stream of interest.  Payment of such interest is a legal obligation on the part of the company.  Further, in general, a debenture is required to be secured against the assets of the company.  … Read the rest