Getting To Know Bond

Bond. Nope it's not James Bond.

This is something sexier than James himself. Because, this means INVESTMENT, Girl!

Now this is already 2017, and I think it's really ABOUT TIME that we finally educate ourselves with these Investment Terms.

So what the heck are BONDS?

Well according to investopedia.com:

"A bond is a debt investment in which an investor loans money to an entity (typically corporate or governmental) which borrows the funds for a defined period of time at a variable or fixed interest rate. Bonds are used by companies, municipalities, states and sovereign governments to raise money and finance a variety of projects and activities. Owners of bonds are debtholders, or creditors, of the issuer"

Did you just grab Kleenex???? OMG, I'm so sorry for doing that to your Girl, but for formality purposes, I had to do that. And I don't even know who formality is and why it's for his sake.. lol

Kidding aside...

Let me break it down for you. (In simple, quirky terms - The Miss Investor way)

Bonds are simply PAUTANG.

But instead of lending your precious money to your so-called friends, who by the way, either don't pay or they delay, you'll LEND IT TO SOMEONE MORE TRUSTWORTHY.

Who are they? The GOVERNMENT (Treasury Bonds) and CORPORATIONS (Corporate Bonds).

"Huh, don't they have money? Aren't they rich??"

Well let's put it this way.

Let's say the Government need to put another Government Agency or Branch in suburbans, of course they need FUNDS to that. Although the government really has money, it might not be enough for that particular project. They'll gonna need millions of money or sometimes probably billions because they have to pay for the construction, employees, computers and a whole lot of expenses we're not "suppose to know"..

So what does the smart Miss Investor do?

She lends her money to the government and after some time, they bring her money back WITH INTEREST.

This applies to Corporations as well.

Sounds cool right?

Now since, this is considered a low-risk investment, chances are the returns are also LOW. Running between 3-6% annually. (if you haven't read my BLOG 5-PITFALLS To Watch Out When INVESTING. READ HERE.)

This is not a way for you to be a millionaire next door, but this can definitely add up to your Asset Portfolio and has HIGHER INTEREST THAN your SAVINGS ACCOUNT. Plus, it's SAFE (minimum risk). Wag puro make ups at shoes girl! Those are pretty good things, and so are BONDS, only they are better.

Where do you look for bonds?

For Treasury bonds, check out Bureau of Treasury's Website or your local bank. For Corporate bonds, go to your local bank.

They're actually available also in the form of a mutual fund, a UITF or a VUL. (if you still need to know what the heck are these investment terms, simply click the word) So if you are interested in getting one, you may contact your friends who are licensed sellers for these investments.

You know what to do Ladies!

Chop! Chop! Time is of the Essence!

MISS INVESTOR

Sexy

Investing is the New

Getting To Know Bond

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