Bonds

Longer-term bonds have two major advantages: I diversification from equities, and (ii) consistent returns. The vast majority of investors, on the other hand, have a diverse portfolio of investments with at least some equity exposure. Longer bonds (10 years or more to maturity) continue to play an important position in these investors’ portfolios. Is it […]

Municipal bonds (also known as municipal debt) are a type of debt “State, city, county, and other local agencies issue debt securities to support day-to-day commitments as well as capital projects such as the construction of schools, roadways, and sewer systems. When you buy municipal bonds, you’re effectively lending money to the bond issuer in

Bonds are still significant today because they generate consistent income and protect portfolios from risky assets falling in value. If you rely on your portfolio to fund your expenditures, the bond element of your portfolio should keep you safe. You can also sell bonds to take advantage of decreasing risky asset prices. Is now the

Municipal or corporate bonds are a wonderful option for investors looking to build a steady stream of income, especially during retirement. Is now a good time to buy municipal bonds? Municipal bonds have attracted a lot of money from investors looking to decrease risk and taxes. Some investors may be concerned about price drops as

Corporate bonds with high ratings are a stable source of income for a portfolio. They can assist you in accumulating funds for retirement, college, or unexpected needs. Is it a good time to buy corporate bonds? Riskier investments such as high-yield bonds, bank loans, and preferred securities have not only posted positive returns, but have

Municipal or corporate bonds are a wonderful option for investors looking to build a steady stream of income, especially during retirement. Are municipal bonds currently a good investment? Municipal bonds were one of the most stable fixed income asset classes in 2021, with positive returns and minimal volatility across a wide range of credit and

When a beneficiary inherits real estate, individual stocks, or other assets that have gained in value, the recipient will receive a step-up in basis on those accounts or assets, allowing the inheritance to be sold without paying income tax. Taxes on Inherited U.S. Savings Bonds The taxation of U.S. Savings Bonds is complicated since it

The majority of bonds are taxed. Only municipal bonds (bonds issued by local and state governments) are generally tax-exempt, and even then, specific regulations may apply. You must pay tax on both interest payments and on capital gains if you redeem the bond before its maturity date. What is the tax treatment of an investment

While many assets give income, bonds tend to deliver the highest and most consistent cash flows. Even when interest rates are low, you have lots of options for building a portfolio that matches your income needs. High-yield bonds and emerging market debt are two examples of these strategies. Is it wise to invest in bonds

Because the issuers’ finances are sufficient to suggest a good capacity to repay obligations, investment-grade bonds are deemed safer than other bonds. Are bond funds with investment-grade ratings risky? Risks of Credit Although most bond funds diversify credit risk adequately, a bond fund’s volatility is influenced by its weighted average credit rating. Bonds of poorer