Investment

The high-yield muni market is substantially smaller than the investment-grade market in terms of liquidity. It has a lot less “liquid” in it. This translates to fewer trade volumes. This isn’t a concern for investors in mutual funds or exchange-traded funds (ETFs); it only applies to investors in individual stocks. However, when bond prices fall, […]

For many bonds, an ISIN number is required. What about historic bonds, though? Gold Bonds from the past are valuable collectibles. There are many different types of historic bonds that were issued to fund various construction projects or private corporate operations, such as railroads. Some are uncommon, and collectors, traders, vendors, and purchasers will pay

From the first day of the month after the issue date, an I bond earns interest on a monthly basis. Interest is compounded (added to the bond) until the bond reaches 30 years or you cash it in, whichever happens first. Interest is compounded twice a year. Interest generated in the previous six months is

Bonds issued or guaranteed by U.S. federal government agencies are referred to as “agencies,” as are bonds issued by government-sponsored enterprises (GSEs), which are organizations founded by Congress to promote a public purpose, such as affordable housing. Bonds issued or guaranteed by federal entities such as the Government National Mortgage Association (Ginnie Mae), like Treasuries,

The Series HH bond was a non-marketable, 20-year government savings bond that paid semi-annual interest depending on a coupon rate. The coupon was fixed for the first ten years, after which it was reset by the US Treasury for the remainder of the bond’s existence. What is the distinction between an EE and an HH

Bonds rated Baa (by Moody’s) or BBB (by S&P and Fitch) or above are thought to have a lesser risk of default and obtain higher ratings from credit rating organizations. The yields on these bonds are often lower than those on less creditworthy bonds. What is the definition of a high-grade bond? Bonds rated Baa

Bonds rated Baa (by Moody’s) or BBB (by S&P and Fitch) or above are thought to have a lesser risk of default and obtain higher ratings from credit rating organizations. The yields on these bonds are often lower than those on less creditworthy bonds. What is a high bond, exactly? High-yield bonds, sometimes known as

A high-yield corporate bond is a form of corporate bond with a higher interest rate due to a greater risk of default. Companies having a higher anticipated default risk may be difficult to achieve an investment-grade bond credit rating if they issue bonds. What is the definition of a good corporate bond? Bonds are graded

Government bonds, often known as gilts in the United Kingdom, are a type of investment that pays a fixed rate of interest until they expire. Gilts are a loan to the government from the bondholder. Until the bond’s maturity date, the issuing government pays the investor a fixed interest rate. When the bond’s maturity date

A government bond is a type of government-issued security. Because it yields a defined sum of interest every year for the duration of the bond, it is called a fixed income security. A government bond is used to raise funds for government operations and debt repayment. Government bonds are thought to be safe. That is