Bond & Fixed Income Basics for Beginners
Interested in learning about bonds and other fixed income investments? Use these resources to find out which kind of bonds are right for you, how you can determine the safety of corporate and municipal bonds, and the difference between general obligation, revenue, junk, zero-coupon, and fallen angels bonds.
How Bond Spreads Can Really Hurt Investors
There is a hidden cost that new bond investors face that many don't even know exists. It comes from the spread that brokers charge clients who buy bonds and, in some cases, can be several percentage points or many thousands of dollars.
There is a hidden cost that new bond investors face that many don't even know exists. It comes from the spread that brokers charge clients who buy bonds and, in some cases, can be several percentage points or many thousands of dollars.
Why Is the Interest I Earn on my Bonds Called a Coupon?
Have you ever asked yourself, what is a bond coupon? This term is from more than a century ago when bonds actually came as physical engraved certificates. Although it's not used any more, but the origin of the term bond coupon is interesting. Take a few seconds to learn.
Have you ever asked yourself, what is a bond coupon? This term is from more than a century ago when bonds actually came as physical engraved certificates. Although it's not used any more, but the origin of the term bond coupon is interesting. Take a few seconds to learn.
How to Determine the Percentage of Your Portfolio to Invest in Bonds
Burton Malkiel, famed author of A Random Walk Down Wall Street and respected Ivy League educator has said that a good rule of thumb for investors to use in order to determine the percentage of their assets that should be invested in bonds is to simply look at their birth certificate. A 30 year old? 30% bond allocation. A 60 year old? 60% bond allocation.
Burton Malkiel, famed author of A Random Walk Down Wall Street and respected Ivy League educator has said that a good rule of thumb for investors to use in order to determine the percentage of their assets that should be invested in bonds is to simply look at their birth certificate. A 30 year old? 30% bond allocation. A 60 year old? 60% bond allocation.
Long Term Treasury Bond Yields vs. Earnings Yields
It is possible to use the risk premium - that is, the spread between long term bond yields and earnings yields - to guage the relative value of the stock market. This risk premium is important because long term bond yields on United States Treasury bonds is considered the risk-free interest rate.
It is possible to use the risk premium - that is, the spread between long term bond yields and earnings yields - to guage the relative value of the stock market. This risk premium is important because long term bond yields on United States Treasury bonds is considered the risk-free interest rate.
What is a Bond?
Governments issue them. Companies issue them. People buy them. Learn more about bonds and why they are really just an "IOU".
Governments issue them. Companies issue them. People buy them. Learn more about bonds and why they are really just an "IOU".
Bonds 101 - What They Are and How They Work
Want to learn about bonds and fixed income investing but don't know where to start? If so, then this is definitely for you. I wrote this bonds 101 article after first taking over the site, and it has been tremendously successful.
Want to learn about bonds and fixed income investing but don't know where to start? If so, then this is definitely for you. I wrote this bonds 101 article after first taking over the site, and it has been tremendously successful.
Understanding Bond Duration
Bond duration is one of the single most important metrics that any investor with a fixed income portfolio should know and live by at all times. If you build a collection of bonds that have too long a duration, you could experience losses as severe as the stock market.
Bond duration is one of the single most important metrics that any investor with a fixed income portfolio should know and live by at all times. If you build a collection of bonds that have too long a duration, you could experience losses as severe as the stock market.
Alister Talks Bonds
For the serious investor who is interested in adding fixed income holdings to their portfolio.
For the serious investor who is interested in adding fixed income holdings to their portfolio.
Bonds Online
Discussion boards, Real Time Quotes, and lessons from "The Bond Professor" make this one of the best sites for people looking into fixed income investing for the first time.
Discussion boards, Real Time Quotes, and lessons from "The Bond Professor" make this one of the best sites for people looking into fixed income investing for the first time.
Investing in Bonds
Includes information and a great paper entitled "An Investor's Guide to Bond Basics".
Includes information and a great paper entitled "An Investor's Guide to Bond Basics".