continuous rolling of U.S. Treasury bills produced 5.7% annually. That sounds satisfactory. But if an individual investor paid personal income taxes at a rate averaging 25%, this 5.7% return would have yielded nothing in the way of real income. This investor's visible ...
Pletschet: Why stocks are better deal than bondsCliff Pletschet
The U.S. stock market is down about 20% so far this year. And what makes this a particularly bad year for investors isn't just stocks. Bonds are falling in value, too, at the same time. And this almost never happens. So bonds are basically loans. When you yourself loan some money ...
Why would one want to invest in a bond over a stock? What are some of the risks associated with investing in bonds? Why do creditors buy government bonds? Why do some commercial banks issue bonds? Why do investors invest in stocks? Why would an investor purchase a convertible bon...
Should an investor expect a mutual fund to outperform the market? If not, why should the investor buy the shares? The owner of your company has asked you to explain why companies issue bonds and stocks. Write a synopsis of the similarities and differences, and explain why a company might ...
Stock marketturmoilearlier this month prompted some investors to ditchstocksin favor of an alternative typically viewed as safer but less exciting: bonds. The renewed popularity of bonds follows months of heightened interest, since investors have sought to lock in high yields in anticipation ofinterest...
作者: Why Stocks Are Less Risky Than Bonds in the Long Run As a matter of fact, what investment can we find which offers real fixity or certainty income? . . . As every reader of this book will clearly see, the man or woman who invests in bonds is speculating in the general level ...
Do you think of your education as an investment like stocks and bonds? Why or why not? In economics, why is capital investment the source for productivity? Who would require greater returns from the change in investments and why?: Investor A finds herself mostly in low ris...
Though mutual funds still charge manage fees, the cost of trading is spread over all mutual fund investors, thereby lowering the cost per individual. Mutual Funds vs. Stocks Mutual funds offer an individual investor exposure to many stocks, not a few. The stocks in the fund are selected and...
investor is converting U.S. dollars to a foreign currency in order to purchase the bonds. The interest is converted from a foreign currency and the principal is finally repaid in converted currency. Those conversions can come at an inopportune time, depending on the changing values of both ...