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What is the relationship between stocks and bonds?

Stocks and bonds are both types of investments, but they have different characteristics. Stocks represent ownership in a company, while bonds represent a loan to a company or government. The relationship between stocks and bonds is often inverse, meaning when stock prices rise, bond prices may fall, and vice versa. Investors often use a mix of stocks and bonds in their portfolios to balance risk and return.


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 is more risky stocks or bonds?

Stocks.


Why do you choose stocks or bonds?

Both stocks and bonds are investment options available for us as an investor. What we choose depends on what we want. If you want high returns and are ready to take high risk - Go for Stocks If you are satisfied with meager returns like 10% or so and are not willing to take any major risks - Go for Bonds


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 was the long term goal for the federal securities act?

To regulate stocks and bonds.


What are the key differences between a bond and a stock, specifically in terms of their characteristics and how they function within the financial markets?

Bonds are debt securities issued by companies or governments, while stocks represent ownership in a company. Bonds pay fixed interest and have a maturity date, while stocks offer ownership in a company and potential dividends. Bonds are considered less risky than stocks but offer lower returns. In the financial markets, bonds are traded in the bond market, while stocks are traded in the stock market.


What happens to stocks and bonds after the stockholder dies?

They become part of the deceased persons estate If the decedent had a will, the stocks and bonds pass on to the wills beneficiaries If there was no will, the state intestacy laws determine who gets the stocks and bonds


What is one key difference between stocks and bonds?

One key difference between stocks and bonds is that stocks represent ownership in a company, while bonds represent debt owed by a company or government.