0
Bonds and stocks serve different purposes to the investor, and ideally you should buy both.
Advantage of investment-grade bonds: the issuer is committed to paying you a stated amount of money on a stated date. The disadvantage is your return is limited to the agreed-on amount.
Advantage of stocks: potentially unlimited return on your investment. The disadvantage is there are no guaranteed returns with stocks; you could potentially lose everything you invested in them.
Speculative-grade bonds, or "junk bonds," have a risk/reward system more like stocks than investment-grade bonds.
Jadon Zulauf
Add your answer:
Earn +20 pts
Is online forex with stocks and bonds?
Foreign Exchange (Forex) buys and sells currencies, most of which include the U.S. dollar. Because they support OTC (over the counter) you are able to use stocks and bonds.
When you put your money in a fund and the investment company combines that money with the money of millions of other investors and buys stocks and bonds with it?
this is a mutual fund
Difference between stocks and bonds?
stocks are stocks and bonds are bonds . flatout -ashes
Do corporations issue stocks and bonds?
They do in fact issue stocks and bonds.
What services does Forex Brokerage offer?
Forex Brokerage is a financial company that buys and sells financial securities, such as bonds and stocks. Clients of brokerage firms are usually investors.
What is more risky stocks or bonds?
Stocks.
Who sells and buys stocks in the US?
Broker
Which earns interest stocks or bonds?
bonds
What is stock exchange and what is stocks and bonds?
A stock exchange is a place where stocks are traded. Stocks are shares of a company. Bonds are like a loan to a company.
Will long term debt increase when you issue stocks and bonds?
When a company issues bonds, yes. Stocks, no.
What is a person who buys and sales stocks?
a stock broker
When the Fed buys government bonds the reserves of the banking system?
When the Fed buys government bonds, the reserves of the banking system
