Many investors are looking into stocks and bonds investing for their financial needs. So which is better-stock or bonds for investing? When it comes to this form of investment, it is really all about your personality and individual needs.
First of all, bonds are almost always a safe investment, at least when you do so with a reputable company that is making good money. When you take out a bond, you are essentially lending money to the company, in exchange for getting your money back with interest at a certain date.
Most of the companies on the stock market are relatively safe in this form of investing. It certainly isnt 100% guaranteed, especially if the company goes into bankruptcy. However, you can be reasonably sure of turning a profit.
A bond is really best if you want some short term money, in order to make a purchase, preferably within the next couple years. The reason these are great for an upcoming purchase is that you can be almost sure of making money in return. With a stock, you arent so sure of making a gain short term.
However, when you are investing in stocks the right way, you can be just about guaranteed to make a profit, albeit long...
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