Securities sold directly by the issuer to a buyer. These must be unregistered stock or bonds, known as letter bonds. The buyer sends a signed letter of intent to the regulatory authorities documenting the purchase as a long-term investment only, holding for a set number of years.
Link to This DefinitionDid you find this definition of LETTER SECURITY helpful? You can share it by copying the code below and adding it to your blog or web page.
Written and fact checked by The Law Dictionary