two biggest determinants of what a bond should yield are its maturity date and its credit rating
Masha Paltsevahat Zitat gemachtvor 9 Jahren
Of the money that you want to invest in bonds, don’t put more than 5 percent into any one bond. That means that you need to hold at least 20 bonds.
Masha Paltsevahat Zitat gemachtvor 9 Jahren
Be especially careful about purchasing bonds that were issued at higher interest rates than those that currently prevail.
Masha Paltsevahat Zitat gemachtvor 9 Jahren
not all bonds make regular interest payments.
Masha Paltsevahat Zitat gemachtvor 9 Jahren
The U.S. government now offers bonds called Treasury inflation-protected securities (TIPS)
Masha Paltsevahat Zitat gemachtvor 9 Jahren
Treasuries are IOUs from the U.S. government. The types of Treasury bonds include Treasury bills (which mature within a year), Treasury notes (which mature between one and ten years), and Treasury bonds (which mature in more than ten years)
Masha Paltsevahat Zitat gemachtvor 9 Jahren
bonds are riskier than money market funds and savings accounts because their value can fall if interest rates rise.
Masha Paltsevahat Zitat gemachtvor 9 Jahren
Bonds are similar to CDs, except that bonds are securities that trade in the market with a fluctuating value.
Masha Paltsevahat Zitat gemachtvor 9 Jahren
Mutual fund companies can’t fail because they have a dollar invested in securities for every dollar that you deposit in their money funds. By contrast, banks are required to have available just 12 cents for every dollar that you hand over to them