Bonds vs. CDs: Similarities, major differences, and how to choose - Business Insider

  • 📰 BusinessInsider
  • ⏱ Reading Time:
  • 48 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 23%
  • Publisher: 51%

Canada News News

Canada Canada Latest News,Canada Canada Headlines

Bonds vs. CDs: The key differences and how to decide which income-producing option is better for you

An investor's long-term goals, need for cash, and tolerance for risk all play a part in deciding between bonds or CDs.Bonds and CDs are both fixed-interest investments, popular with investors seeking a low-risk income stream.

It's important to know the differences so that you choose the fixed-income investment that best suits your needs. Here's a rundown of the key features of each, and how to opt for one over the other. is a loan that investors make to large entities, like governments or companies. In return for borrowing your money, the bond issuer promises to pay a certain interest rate over a set period of time and to repay the principal when the bond reaches maturity.

Corporate bonds can be riskier than government or municipal bonds, but may also offer more attractive interest rates. To research a bond's degree of risk, you can check its credit grade assigned by credit-rating agencies like Standard and Poor's, Moody's, and Fitch. Like academic grades, they're letters, ranging from A to F. Any bond that gets ranked BBB or above is considered "investment grade."is actually a type of savings account offered by banks.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 729. in CA

Canada Canada Latest News, Canada Canada Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Inside the Amex Centurion Lounge at JFK Airport; tour, photos, details - Business InsiderBusiness Insider is a fast-growing business site with deep financial, media, tech, and other industry verticals. Launched in 2007, the site is now the largest business news site on the web. EndSARS EndBadGovernmentinNIGERIA EndPoliceBrutalityinNigeria 🔥 Check It Out 🔥 Fantastic very clean and elegant
Source: BusinessInsider - 🏆 729. / 51 Read more »

The best 3-year CD rates of October 2020 - Business InsiderBusiness Insider is a fast-growing business site with deep financial, media, tech, and other industry verticals. Launched in 2007, the site is now the largest business news site on the web. good You’re better off putting your money in a mattress
Source: BusinessInsider - 🏆 729. / 51 Read more »

How Republican vs. Democratic presidents affect investment value - Business InsiderBusiness Insider is a fast-growing business site with deep financial, media, tech, and other industry verticals. Launched in 2007, the site is now the largest business news site on the web.
Source: BusinessInsider - 🏆 729. / 51 Read more »

The insider's guide to getting a job at Blackstone - Business InsiderBusiness Insider is a fast-growing business site with deep financial, media, tech, and other industry verticals. Launched in 2007, the site is now the largest business news site on the web.
Source: BusinessInsider - 🏆 729. / 51 Read more »

Trump's campaign nearly went broke for the 2020 homestretch, insiders say - Business InsiderBusiness Insider is a fast-growing business site with deep financial, media, tech, and other industry verticals. Launched in 2007, the site is now the largest business news site on the web. If you want to start a new business on an online platform it is very important to have social media profiles according to your business. So, Don't waste time! Hire me, I will set up social accounts for you at a cheap rate. Order visit & see my services: Name who your insiders are A must watch, documentary about trump administration handle COVID-19.. available on Amazon.. TOTALLY UNDER CONTROL Trailer (2020) Coronavirus, President Trump ..
Source: BusinessInsider - 🏆 729. / 51 Read more »

17 tips to save money when starting a new business - Business InsiderBusiness Insider is a fast-growing business site with deep financial, media, tech, and other industry verticals. Launched in 2007, the site is now the largest business news site on the web.
Source: BusinessInsider - 🏆 729. / 51 Read more »