With a plethora of ways to analyze bonds, it might make your head spin. Even so, evaluating the potential risk before you buy and calculating your potential returns is an essential step in the process of acquiring bonds.
How To Calculate How Much Money You Will Make On A Bond
If youre going to play the market, youre likely in it to win. You expect a modest return on your investment, or at least to make your money back. Your choice of investment matters a lot, so it really helps if you can calculate how much money you can expect to make. The most general meaning of yield is the amount of money returned (usually annually) in the form of dividends.
Income Investing: Selecting the Right Stuff
When is 3 percent better than 6 percent? Higher Interest Rates are good for investors, even better than lower rates. Selecting the right securities to take advantage of the interest rate cycle is not particularly difficult, but it does require a change in focus.