What do you think is a profitable investment, investing in bonds or keeping your money in a fixed deposit bank account? In my home country, fixed deposit bank accounts have higher rate of return compared to the bonds, including government bonds and corporate bonds, therefore, a lot of people prefer to keep their money in fixed deposit bank accounts instead of investing in bonds.
Bonds Vs. Fixed Deposit Bank Accounts
- Thread starter nomad
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I have invested in bonds and have put money in a fixed deposit account. Due to the low interest rate in my area, the return on fixed deposit is quite low. I get a better return from bonds.
I would avoid both of such kind of accounts. I prefer investing money in real markets because they offer you the chance to earn more profits comparatively.
Many people think that saving money in banks is always safe. While this is true, things may go worst in case if the country goes bankrupt. I think the same situation happened in Cyprus one decade ago.
There are times when you will see the ones that are not very risky but they are mostly with low returns so it is still good to go for those ones instead if going for ones with high returns and very risky.
I prefer fixed deposit in the bank account because it will yield more profit than investment on bonds.
Many people think that their money is safe when it comes to storing money in bank accounts. However, it all depends on the policies of the government. Government could confiscate your money whenever they deem it fit.
