By Thomas Kenny
This series of articles provides the basic foundation for investing and explains how bonds can work into your overall portfolio plan.
- Getting Started, Part 1: Balancing Risk and Return
- Getting Started, Part 2: Assessing Your Risk Tolerance
- Getting Started, Part 3 Allocating Among Stocks, Bonds, and Cash
- 6 Wrong Reasons to Change Your Asset Allocation
- Using Bonds for Diversification
- Getting Started, Part 4: The Importance of Portfolio Rebalancing
- Should Young People Invest in Bonds?
The bond market may seem confusing at first, but it's easy to get started if you begin with these basics.
- What is a Bond?
- Ten Things to Know About Bonds
- Why Invest in Bonds?
- The Easiest Ways to Invest in Bonds
- The Differences Between Stocks and Bonds
- The Relationship Between Risk and Yield in the Bond Market
- Why Do Bond Prices and Yields Move in Opposite Directions?
- The Top 10 Mistakes by Bond Investors
Understanding Bond Terminology
The language of bonds might be intimidating to beginners, but this guide can help you begin to understand the jargon - and learn some key concepts in the process.
- Bond Basics: Issue Size, Issue Date, Maturity Value, Coupon, Yield to Maturity
- The Difference Between Coupon and Yield to Maturity
- The Difference between Yield and Total Return
- Yield to Call vs. Yield to Worst
- The Yield Curve Explained
- Real Return vs. Real Yield
- The Different Types of Fund Yields
- What is a “Yield Spread”?
- Premium Bonds vs. Discount Bonds
- Secured Bonds vs. Unsecured Bonds
- Credit Risk vs. Interest Rate Risk
- What Bond Credit Ratings Tell Us
- The Meaning of "Upgrade" and "Downgrade"
Investing in Bonds
If you have already decided that bonds are right for you, here are some resources to help you get started down the correct path.
- 12 Types of Bonds to Know
- The Best Bond Investments for Falling Rates
- How to Protect Against Rising Rates
- The Highest Yielding Fixed Income Investments
- Lowest Risk Bonds: What Types of Bonds Are the Safest?