Purchasing a Treasury bond is like lending money to the US Government — buying the bond means buying the rights to interest payments every six months over the life of the bond, as well as owning the rights to a cash payment of the bond par value on the bond’s maturity date. If you are a new investor, treasury bonds are a great way to learn about investing and earn some interest. If you already have a developed securities portfolio, treasury bonds can strengthen your investment and shield it against market changes.
No comments:
Post a Comment