In finance, a debenture is a long-term debt instrument used by governments and large companies to obtain funds. It is similar to a bond except the securitization conditions are different. A debenture is unsecured in the sense that there are no liens or pledges on specific assets. It is however, secured by all properties not otherwise pledged. In the case of bankruptcy debenture holders are considered general creditors.

The advantage of debentures to the issuer is they leave specific assets unencumbered, and thereby leave them open for subsequent financing.

In practice the distinction between bond and debenture is not always maintained. Bonds are sometimes called debentures and vice-versa.

A warrant is a security that entitles the holder to buy or sell a certain additional quantity of an underlying security. This transaction takes place over an agreed-upon price, exercised within a period of time and at the holder`s discretion. The right to buy the underlying security is referred to as a call warrant; the right to sell it is known as a put warrant. In this way, a warrant is very similar to an option. When a warrant is exercised, a new share of stock is created, whereas when an option is exercised, the owner of the option receives an existing share that is delivered by a counterparty (except in the case of employee stock options, where new shares are created and issued by the company upon exercise).