Search results
Results from the WOW.Com Content Network
Municipal-bond ETFs and mutual funds invest in bonds that are issued by state and local governments to finance capital expenditures. Unlike taxable bonds, municipal bonds provide tax advantages ...
Investing in bond funds can give you exposure to the bond market (and the diversification it brings). Learn how they work and where to find top funds. ...
Mutual funds have been investing in bonds for many years. Some of the oldest balanced funds , which include allocations to both stock and bonds, date back to the late 1920s. Bond Fund Benefits
There are two ways to make money by investing in bonds. The first is to hold those bonds until their maturity date and collect interest payments on them. Bond interest is usually paid twice a year ...
Arnott: Multisector bond funds and nontraditional bond funds boast higher SEC yields (currently 5.74% and 5.72%, respectively) compared with the intermediate core-plus category, which has an ...
Other risks typically associated with bond investing, such as default risk and call risk, are mitigated because a bond fund is made up of many individual bonds. By owning a large number of bonds, the impact of any one bond defaulting or being called away prior to maturity (forcing the fund to reinvest the proceeds at a lower, prevailing rate of ...
Bond strategies and picks as the Federal Reserve raises interest rates. For the first time in a long while, bond investors find themselves in a new world: a world of rising interest rates. In an ...
A bond’s payment is called a coupon, and it will not change except as specified in the terms of the bond. On a fixed-rate bond, for example, the coupon might be 5 percent, so the bondholder ...
A bond fund is an investment vehicle that pools capital from multiple investors to buy a portfolio of bonds or other debt instruments. Bond funds are often a more efficient way for individual ...
Investing in a bond mutual fund or ETF is much like investing in a stock mutual fund or ETF. You put your money into a pool with other investors, and a professional invests that pool of money. In an actively managed fund or ETF the manager may invest according to what they think the best opportunities are, in accordance with the fund’s stated ...
When investing in bonds, it’s important to: Know when bonds mature. The maturity date is the date when your investment will be repaid to you. Before you commit your funds, know how long your investment will be tied up in the bond. Know the bond’s rating. A bond’s rating is an indication of how creditworthy it is.
Bonds are debt securities issued by governments and companies to raise funds. Bond investors receive periodic interest payments and, when the bond matures, their initial investment.