
Investing Made Easy
Investors should take a holistic view of their investments, considering both income and capital appreciation potential for each investment. Watch the video to learn more.
Investors should take a holistic view of their investments, considering both income and capital appreciation potential for each investment. Watch the video to learn more.
Source: Bloomberg, as of July 31, 2024.
Types of bonds | Highlights |
---|---|
Government bonds | Government bonds are the safest type of bonds. |
Corporate bonds | Corporate bonds, issued by businesses to borrow money, in general offer higher yields but are riskier. |
Municipal bonds | Municipal bonds, or munis, are issued by local and state governments and certain utilities. Munis’ yields are usually modest, but the fact that the bonds are often exempt from federal and state taxes translates into higher effective returns. |
High-yield bonds | High-yield bonds are issued by companies with lower credit ratings. They tend to offer more attractive yields, but the risk of default is also higher. |
Source: Bloomberg, as of July 31, 2024. Past performance is not a guide to future returns.