Bonds vs CD?

Question

Which has a higher interest percentage rate?

Answer 1

The main difference between bonds and CDs or T-bills is that, with bonds, you get paid a higher interest rate (about 2% more), but you wait longer to get your money back (ten to thirty years). With CDs and T-bills, you get your money back in three months to two years.

There are pros and cons to bond investments.

Advantages

Bonds give higher interest rates compared to short-term investments.
Bonds are less risky compared to stocks.

Disadvantages

Selling bonds before they’re due may result in a loss, a discount.
If the issuer of the bond declares bankruptcy, you may lose money.

Answer 2

short term cd will be higher. Shop around, banks run promotions all the time on CDs, but these will never be longterm investments. You have to decide how long you want to invest the money for. If it is 2 years or less then go for a CD, if it is longer I would look into an index.

Answer 3

it depends
in the US long term bonds have a lower interest rate that short term CDs
Junk bonds have higher interest that CD's but with much higher risk.

Take your pick, there is always trade-offs

Answer 4

decrease value expenditures bonds are worhtless yet you need to purchase them at a low-priced, usually a million/2 of the face fee. CDs pay bigger in pastime yet generally you will desire $1000 (watching the financial employer you bypass by using) to open a cd. in case you prefer to evetually purchase a CD for each of your babies yet have not got the minimum quantity to open them suitable now, in basic terms positioned it in a extreme pastime decrease value expenditures account (like a money marketplace) until eventually you do,