Dungeons and Dragons powered by 3D Printing

#3printing #tabletopgames #paintingwarhamme #warhammercommunity #hobby #miniature Is resin printing worth your money? I take a look at the Creality Halot One resin printer to see if you should drop a moderate …

Cooking tips on making the best gravy

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Cinematically themed Ambient Mix

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#financialeducation #moneymatters #finance #financialfreedom #stocks

How do Bonds work?  Are bonds better than Stocks?

Are you investing Money if so do you know what Bonds are?    Learn about Bonds in todays video.

In finance, a bond is an instrument of indebtedness of the bond issuer to the holders. The most common types of bonds include municipal bonds and corporate bonds. Bonds can be in mutual funds or can be in private investing where a person would give a loan to a company or the government. The bond is a debt security, under which the issuer owes the holders a debt and (depending on the terms of the bond) is obliged to pay them interest (the coupon) or to repay the principal at a later date, termed the maturity date. Interest is usually payable at fixed intervals (semiannual, annual, and sometimes monthly). Very often the bond is negotiable, that is, the ownership of the instrument can be transferred in the secondary market. This means that once the transfer agents at the bank medallion stamp the bond, it is highly liquid on the secondary market.

Bonds and stocks are both securities, but the major difference between the two is that (capital) stockholders have an equity stake in a company (that is, they are owners), whereas bondholders have a creditor stake in the company (that is, they are lenders). Being a creditor, bondholders have priority over stockholders. This means they will be repaid in advance of stockholders, but will rank behind secured creditors, in the event of bankruptcy. Another difference is that bonds usually have a defined term, or maturity, after which the bond is redeemed, whereas stocks typically remain outstanding indefinitely. An exception is an irredeemable bond, such as a consol, which is a perpetuity, that is, a bond with no maturity.

 

Learn about Investing so that you make fewer mistakes and earn the money you deserve for a better life.

 

Another great story from InSight WTV a leader in online information, news, stories and articles for you to learn more online.

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