Non-convertible debentures bonds are fixed-income securities that are issued by companies to raise capital from investors for various requirements, including the expansion or growth of an entity. While both these instruments carry a fixed rate of interest, they differ in terms of the duration of their issue, the issuer’s ability to redeem them, and the risk associated with them. NCDs also tend to be more volatile in nature and involve higher risks as compared to bonds. A bond may be referred to as a non-convertible debenture if it is not secured.