Rather than borrowing from a bank, large companies, banks and sovereign governments borrow money in the capital markets by issuing bonds. A bond is a security representing debt of an issuer. Bond buyers are the lenders; bond issuers owe the lenders money and pay periodic interest to them. Interest payments are called coupons; coupons are expressed as a percentage of the money borrowed. You can learn more about fixed income and find other videos on bonds here: https://financeunlocked.com/fixed-income-unlocked-1-4-introduction-to-bonds-and-bond-pricing/ Lindsey runs Perfordiant, an investment risk and performance consulting firm. He has worked in financial markets since 1992. Lindsey became an MD in fixed income and equities, ran a Risk function, and was on the management team of an Asset Management fintech business. Lindsey is now a Visiting Fellow at the Henley Business School, and resides on the board of CFA UK. You can find more of Lindsey Matthews videos here: https://financeunlocked.com/expert/lindsey-matthews/ Finance Unlocked produced this video and is the world’s first comprehensive, on-demand video-delivered learning platform built specifically for finance professionals. Finance Unlocked works with a global network of leading finance industry specialists to create and curate a comprehensive content universe; everything is explained and demystified, from basic concepts to advanced theory, supported by examples and real-world case studies. To find out more about Finance Unlocked, check out the following page - https://financeunlocked.com/discover