Friday, January 15, 2010

Risks Of Investing In Bonds What Are The Risks Involved With Investing In Bonds? What Can One Do To Minimize Risk When Investing In Bonds?

What are the risks involved with investing in bonds? What can one do to minimize risk when investing in bonds? - risks of investing in bonds

The mutual obligations of the United States, the deposit risk, credit risk and interest rates (market) are the greatest danger. The bonds are bonds safer Munis next next investment in the trade obligations and are at higher risk junk bonds. Morningstar.com has a great tutorial on bonds.

4 comments:

raysor said...

The risks must be repaid: the lack of payment of interest, failure to meet the capital for the redemption, and if interest rates move sharply upward whereby the volume of borrowing (but not of redemption. The first two bond ratings, with "action. Example AAA

raysor said...

The risks must be repaid: the lack of payment of interest, failure to meet the capital for the redemption, and if interest rates move sharply upward whereby the volume of borrowing (but not of redemption. The first two bond ratings, with "action. Example AAA

Anonymous said...

Corp. and Muni bonds have default risk, loss due to rising interest rates (if the sale) before the due date and with the inflation to the maturity of the dollar with less purchasing power.
In general, short-term bonds or bond funds miniize of those risks. The problem is that the yield is generally lower. CDs, money market funds and savings bonds government (and EE bonds) are not at high risk of losing their investment. I Bonds move followed aa federal taxes to inflation)

Anonymous said...

Corp. and Muni bonds have default risk, loss due to rising interest rates (if the sale) before the due date and with the inflation to the maturity of the dollar with less purchasing power.
In general, short-term bonds or bond funds miniize of those risks. The problem is that the yield is generally lower. CDs, money market funds and savings bonds government (and EE bonds) are not at high risk of losing their investment. I Bonds move followed aa federal taxes to inflation)

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