Fixed income / Bonds
Fixed income is an investment approach focused on preservation of capital and income. It typically includes investments like government and corporate bonds, CDs and money market funds. Fixed income can offer a steady stream of income with less risk than stocks
Benefits
Regular Income -- Fixed-income securities provide investors with a secure stream of income.
Less Market Volatility--Bonds carry very low volatility as compared to the prices of equity or mutual fund and are considered safe investments.
Safety - Principal Protection-- Investors benefit by preserving and increasing their invested capital.
Portfolio variegation -- Bonds enable efficient portfolio variegation and thus assist in portfolio risk-mitigation.
High Priority Claim To Assets --Investors in bonds have a higher priority over common and preferred stockholders.
Zero Credit Risk-- No default risk while investing in Govt Bond.
