It is quite difficult for a simple man in the street to understand what a bond is and what it is for. And, anyway, this is a type of security that can bring a good profit, if you observe a number of conditions for its acquisition.
Let’s start with the concept of bonds. In simple and accessible language for the average reader, bonds of enterprises – a valuable debt paper, through which its owner can claim to receive from the company funds corresponding to the value of the bonds after a certain period of paper. Either to receive any property equal to the value of the bond, or a fixed interest on it.
You ask, what is the benefit? And the benefit is inflation. After all, the value of securities, as well as the capital of the enterprise, is growing at the same time. Continue reading