An issuer is the company or corporation that issues securities for the purpose of raising capital.
Issuers can issue different types of securities, such as shares, bonds or certificates. Typical issuers are, for example, the federal government, federal states, cities and municipalities as well as credit institutions and industrial companies. These companies and institutions use the issue of securities as a way to raise capital and thus finance their investments and projects.
As issuers, these companies and institutions have a special responsibility towards the investors who purchase their securities. They must ensure that their financial reports and prospectuses are transparent and understandable and contain all relevant information for investors.
The creditworthiness of the issuer is often an important factor for investors when deciding whether to invest in its securities. An issuer with a high credit rating is considered trustworthy, reliable and usually has a better chance of raising capital on attractive terms.
