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What is the difference between a bond a stock and a mutual fund?
Wiki User
∙ 13y ago
A bond is a security that has a fixed face value (par), that provides income (interest) on a periodic basis (quarterly, six monthly) at a fixed coupon on the face value. The security's price, at any point in time, varies inversely with the prevailing interest rate. A bond is effectively a loan to the company.
A stock is a security representing part ownership in a company. Its value is tied to the fortunes of the company and the vagaries of the Stock Market. Income may be derived from dividends but this is at the discretion of the company's board of directors.
A mutual fund is a basket securities that may contain bonds, stocks and other securities. A mutual fund is managed by professional portfolio managers for a fee and sold to investors.
Wiki User
∙ 13y ago
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What is the difference between stock market and bond market?
Equity is bought and sold in the stock marketwhile debt is bought and sold in the bond market.
Difference between bonds shares and mutual funds?
The difference between bonds shares and mutual funds is in their definition. Bond shares refers to the individual shares that an investor owns in a company while mutual fund is the collection of all the stocks and shares in a company.
Define yield in mutual funds?
Yield is the interest earned on a bond, or the dividend paid on a stock or mutual fund.
What is the difference between a bond and a stock?
When you buy either bonds or stock, you pay money now with the possibility of getting more money later. But a bond represents a debt--the company that issued the bond owes you money to be paid when the bond is redeemed. A stock represents ownership. As a stockholder, you become a part owner of the company.
What is the differences between a stock and a bond?
A stock represents partial ownership in a company. A bond represents a loan to a company.
Is there any difference between contract and a bond?
Yes, there is a difference between a contract and a bond. A contract is a legally binding agreement between two or more parties that outlines the terms and conditions of their relationship, while a bond is a financial instrument that represents a loan made by an investor to a borrower, typically a corporation or government. Contracts involve the exchange of goods, services, or promises, while bonds involve the exchange of money with a promise to repay the principal amount plus interest at a later date.
What is the difference between stock market and bond market?
Equity is bought and sold in the stock marketwhile debt is bought and sold in the bond market.
Difference between bonds shares and mutual funds?
The difference between bonds shares and mutual funds is in their definition. Bond shares refers to the individual shares that an investor owns in a company while mutual fund is the collection of all the stocks and shares in a company.
Define yield in mutual funds?
Yield is the interest earned on a bond, or the dividend paid on a stock or mutual fund.
Accurately explains the difference between the stock market and the bond market?
Equity is bought and sold in the stock market while debt is bought and sold in the bond market.
Can you trade an IRA account?
Yes, you can trade stock, bond, mutual funds, etc
What is the difference between a bond and a stock?
When you buy either bonds or stock, you pay money now with the possibility of getting more money later. But a bond represents a debt--the company that issued the bond owes you money to be paid when the bond is redeemed. A stock represents ownership. As a stockholder, you become a part owner of the company.
What is the definaition of a covalent bond?
A chemical bond which is formed by the mutual sharing of electrons between atoms is known as covalent bond.
You and your ex boyfriend want to have a mutual bond?
what is a mutual bond
What is the differences between a stock and a bond?
A stock represents partial ownership in a company. A bond represents a loan to a company.
Is the term for a bond between two atoms that differ in electronegativity?
If there is a slight electronegativity difference, the bond is a nonpolar covalent bond. If there is a large electronegativity difference, it is an ionic bond. If the difference is somewhere between, it is a polar covalent bond.
What is the purpose of the mutual fund index?
The Mutual Fund Index is designed to track the performance of a bond or stock index to predict the future behavior of said index based on its past performances.
