What are the benefits of taking bonds ?

[Sameemohs]

Benefits of investing in bonds include:

1. Income: Regular interest payments.
2.Safety: Generally lower risk compared to stocks.
3.Diversification: Balances a portfolio.
4.Capital preservation: Return of principal at maturity.
5.Predictable returns: Fixed interest rates.
6. Tax advantages: Some bonds offer tax benefits.

Consider your financial goals and risk tolerance when investing in bonds.

 

[Suba]

The benefit of taking bonds that you haven't mentioned is capital gain, where we often get bonds at a low price or get a discount when we buy bonds in the primary market and later we can sell bonds at a nominal price in the secondary market.

 

[SHAHID987]

Here we are enjoying with government issued bonds and we purchase bond of some amount. After every three months government announce it's draw and if we win then we get money on the other hand our money in the form of Bond remain as it is. We can cash it whenever we want.