An Issuer is a legal entity that develops, registers and sells securities to finance its operations. Issuers may be corporations, investment trusts, or domestic or foreign governments. The key difference between an issuer and other entities selling securities is that the former raises capital by issuing new securities while the latter does so by selling existing ones.The most common type of security issued by issuers are bonds. Bonds are debt instruments that obligate the issuer to make periodic interest payments (coupons) to bondholders and repay the principal amount of the loan (face value) at maturity. Other types of securities issued by issuers include shares in equity-based crowdfunding campaigns, initial public offerings (IPOs), and secondary market offerings.Issuers typically use underwriters when issuing new securities in order to ensure proper pricing and distribution of the offering among potential investors.
