A bearer bond is a type of fixed-income security that is not registered in the name of the owner. Instead, the bond is issued in physical form, and whoever physically holds the bond can claim the interest payments and the principal amount upon maturity. This makes bearer bonds easy to transfer, as ownership is determined by possession. Because bearer bonds do not require registration, they can offer a high level of privacy. However, this anonymity also makes them susceptible to theft and fraud. Additionally, many countries have phased out bearer bonds due to concerns about money laundering and tax evasion, leading to stricter regulations around their issuance.