A security is a term that can be used to describe many types of investments. There are two types of securities:

1. Debt securities, which include bonds, are so called because when a bond is purchased, the government or company that it is bought from owes a debt.
2. Equity security; these are generally stocks, and these essentially give the purchaser a stake in the company in which they have invested.

See also:

• Liquidation
• Mature/Maturity

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