HKSI Paper 7 The debt market question: issues US dollar bonds through an international bank syndicate

Answer: A. A Eurobond, as it is sold outside the currency's home market

Bonds can be categorised by where they are sold and in what currency. A domestic bond is issued by a local issuer in its home market and currency. A foreign bond is issued by a non-resident in another country's domestic market, in that market's currency and under its rules: Yankee bonds are sold in the US in US dollars, Samurai bonds in Japan in yen. A Eurobond is denominated in a currency other than that of the countries where it is sold, usually through an international syndicate. Kaito's US dollar bonds are sold outside the United States, so they are Eurobonds (Eurodollar bonds), not Yankee or Samurai bonds, and not foreign bonds. Source: Standard bond categories (domestic, foreign and Eurobonds) (as at October 2026).