HomeDefinitionsCompareDebt Moral obligation bondThe financial definition for Moral obligation bond:A tax-exempt bond issued by a municipality or a state financial intermediary that is backed by the moral, but not legal, obligation of a state government to appropriate funds in case of default . Similar MatchesAccumulated Benefit Obligation (ABO)Accumulated Benefit Obligation (ABO)An approximate measure of the liability of a pension plan in the event of a termination at the date the calculation is performed. Related: Projected benefit obligation. Collateralized Bond Obligation (CBO)Collateralized Bond Obligation (CBO)Investment-grade bonds backed by a collection of junk bonds with different levels of risk, called tiers, that are determined by the quality of junk bond involved. CBOs backed by highly risky junk bonds receive higher interest rates than other CBOs. Collateralized mortgage obligation (CMO)Collateralized mortgage obligation (CMO)A security backed by a pool of pass-through rates , structured so that there are several classes of bondholders with varying maturities, called tranches. The principal payments from the underlying pool of pass-through securities are used to retire the bonds on a priority basis as specified in the prospectus. Related: mortgage pass-through security. Further SuggestionsEurodollar obligationsFixed dollar obligations Full faith and credit obligations Government obligations Obligation Obligation bond Click to compare definitions of Moral obligation bond Click to view definitions beginning mo |