Cain1021 Cain1021
  • 02-03-2021
  • Business
contestada

What is the risk you are taking when investing in bonds? How can you minimize this risk?

Respuesta :

ReiChu
ReiChu ReiChu
  • 02-03-2021

Answer:

Risk: The bonds you own will decline if interest rates rise, interest rate risk.

Minimalize:

- Don't buy bonds when interest rates are low or rising. Buy when stable.

- Stick to short term issues (3 - 5 years)

- Buy bond with different maturity dates

Explanation:

Good luck <3

Answer Link

Otras preguntas

What does the cell Nucleus do or, how does it function?
Write a poem that's at least 10 lines long. :)
PLEASE HURRY AND ANSWER WILL GIVE YOU BRAINLIEST!!! In at least two hundred words, explain how “Birthplace” is influenced by cultural experience.
Explain how nationalism led to independence in south africa.
What is the slope-intercept form for each equation in this system? Compare the slopes and y-intercepts to describe the graph of the system. 3x - 4y = 28 4x + 10
Describe how the story of uncle Pyotr in “a fateful journey” differs from the historical account of immigrants in “moving to America”
The room was gaudy with its ____ leather couch and purple walls
y=21.95x+10 y=22.45x Solve by substitution
how does the mother defend her child to the old duck
Question 6(Multiple Choice Worth 5 points) (05.02 LC) What is the value of x? A right angle is shown divided into two parts. The measure of one part of the ri