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

1. the estimation of a person; the public perception of a person2. distinct; different3. a servant under complete submission to his master4. a level of societyA
How do I figure this out?
Where did Nixon visit In 1972
The perimeter of a Triangle is 145 centimeters one side Measures 44 centimeters (cm) another side Measures 54 centimeters what is The length of The remaining si
I do not understand this question and it will be kind if you help a kid in need Solve for t, x, or y:
Insert parentheses in 15-3x4+9=57
evaluate 2h(3)-4g(-1)
In the excerpt from “A Voyage to Brobdingnag” from Gulliver’s Travels, Gulliver finds himself in a kingdom of giants. What can you infer about the King’s attit
Read the passage from Etiquette, by Emily Post. New York's bad manners are often condemned and often very deservedly. Even though the cause is carelessness rat
Why did the British fight the war of 1812?