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What is Commercial Paper (CP)?

Commercial Paper (CP) — Short-term, unsecured debt issued by companies to meet working-capital needs, held mainly by money-market funds.

In simple terms

Liquid funds hold commercial paper for short-term yield.

Why Commercial Paper (CP) matters when you invest

Understanding commercial paper helps you make better-informed decisions when you invest and trade on ROAR by DP TradeKING. Open a free account to put it into practice — ₹0 delivery brokerage and zero-commission direct mutual funds.

Commercial Paper (CP) — frequently asked questions

What is Commercial Paper (CP)?

Short-term, unsecured debt issued by companies to meet working-capital needs, held mainly by money-market funds.

What does Commercial Paper (CP) mean in the stock market?

Short-term, unsecured debt issued by companies to meet working-capital needs, held mainly by money-market funds. Liquid funds hold commercial paper for short-term yield.

Can you give an example of Commercial Paper (CP)?

Liquid funds hold commercial paper for short-term yield.

Related terms

Certificate of Deposit (CD)Fixed income

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