What is bonds?

[flower]

Bond investment is equally good form of way to make money but the profit is very low.

 

[Springtime]

Bonds are issued by governments and corporations when they want to borrow money. Buying a bond means that you are lending money to the issuer. You will be paid back the face value of the loan on a specified date plus periodic interest payments. Buying government bonds is a safe option unless the government goes bankrupt which happens rarely in developed countries.

 

[Suba]

Investing in bonds is a type of investment in securities that are listed on the stock exchange, has a lower risk than stocks, but there are also some risks in bonds that need to be known, such as government bonds which also have a risk of losses occurring in the secondary market due to falling prices.

 

[Stardom22]

Bonds investment can be worthy investing in these days. However the bad side for that is that; it's quite difficult to determine a good company that has a higher credit ratings for you to invest in.

 

[Suba]

In the securities market, bonds are classified as the lowest risk investment, if you can't analyze the condition of the company, it would be better if you only invest in government bonds and or corporate bonds.

 

[uptrendfinancialsignal]

In the securities market, bonds are classified as the lowest risk investment, if you can't analyze the condition of the company, it would be better if you only invest in government bonds and or corporate bonds.

It is true that bond has a very low risk and it is more credible provided that you are giving investing in company with good credit record ,. especially government bonds.

 

[cherry123]

Yeah I was taught this in my school as bond is a debt instrument that is issued by a company same with any government institution. then you get interest on the amount you loaned

 

[Knowledge Quest]

I love investing in bonds and stocks because they are risk-free investments.

 

[Suba]

Yeah I was taught this in my school as bond is a debt instrument that is issued by a company same with any government institution. then you get interest on the amount you loaned

You are right, bonds mean acknowledgment of debt, even though there are many types of bonds out there but the point is the same, bondholders have a special right to claim their debts if the company is liquidated.

 

[cherry123]

I like the whole idea about investing in bonds its worth going for it as bondholders even have the right to claim their debts if the company is liquidated which is good

 

[Suba]

When a company is declared bankrupt by a court, liquidation will be held, bondholders have the privilege of getting paid in advance, compared to shareholders. Investors can buy bonds that give fixed interest or buy bonds that give floating interest or change according to market conditions.

 

[Mayor]

Compared to other investment out here, I think investing in bond is actually less risky. And it has proven to be a trusted investment over the years. Before investing in Bonds, It is best to ensure you are covered with the necessary information needed to guide you through.

 

[Suba]

Compared to other investment out here, I think investing in bond is actually less risky. And it has proven to be a trusted investment over the years. Before investing in Bonds, It is best to ensure you are covered with the necessary information needed to guide you through.

You are right, before investing in anything we have to get adequate information, but government bonds don't need to be analyzed in depth because they are run by government agencies, so we don't have to worry about going bankrupt or anything else.

 

[Mayor]

You are right, before investing in anything we have to get adequate information, but government bonds don't need to be analyzed in depth because they are run by government agencies, so we don't have to worry about going bankrupt or anything else.

Ohhh, I actually do not know how Government bonds work. But I have heard always refer to it as a less risky venture or investment. But Is the return on investment very big? I am not sure of that.

 

[Suba]

You can learn about government bonds on your country's securities site or local finance site. In general, bonds pay coupons or higher interest than deposit rates. Unfortunately, you can't redeem bonds all the time or when you need money.