Glossary

Glossary

Term Book Chapter Definition
Credit Risk Angel Investing: Convertible Notes Chapter 9: Convertible Notes vs. Other Debt Instruments The risk that a borrower will default on any type of debt by failing to make required payments. Bonds are generally considered lower-risk investments compared to convertible notes, as they do not depend on the company's future performance.
Credit Risk Certified Financial Planner (CFP) Exam Chapter 11: Risk Management A type of financial risk that pertains to the likelihood of a debtor defaulting on their financial obligations.
Credit Risk Securities Industry Essentials (SIE) Exam Chapter 9: Investment Returns and Risk Factors The risk that an issuer of a bond or other debt security will be unable to make interest or principal payments, resulting in a default.