MANAGEMENT

Detailed explanation-1: -Certificates of deposit (CD) are unsecured, negotiable, short-term instruments in bearer form. They can be issued to individuals, corporations and companies during periods of tight liquidity when the deposit growth of banks is slow but the demand for credit is high. Was this answer helpful?

Detailed explanation-2: -The liquidity status of a certificate of deposit is considered to be more liquid if it is more negotiable. Liquid certificates of deposit are a type of certificate of deposit (CD) that allow investors to withdraw funds without penalty.

Detailed explanation-3: -Certificate of Deposit or CD is a fixed-income financial instrument governed under the Reserve Bank and India (RBI) issued in a dematerialized form. The amount at payout is assured from the beginning. A CD can be issued by any All-India Financial Institution or Scheduled Commercial Bank.

Detailed explanation-4: -(4) Certificate of Deposit: Certificate of deposits are issued by commercial banks or developmental financial institutions to individuals, institutions, corporations and companies. (a) It is an unsecured, negotiable instrument in bearer form.

Detailed explanation-5: -A Certificate of Deposit (CD) is a money market instrument which is issued in a dematerialised form against funds deposited in a bank for a specific period. The Reserve Bank of India (RBI) issues guidelines for Certificate of Deposit from time to time.