Shares/Stock Which is more profitable Stocks or Bonds?

[Suba]

Investments in stocks and bonds are more loved by groups of people over the age of 40 because they are considered safer and less volatile like cryptocurrencies. But if our finances are limited then we will be faced with the choice of investing in stocks or bonds.

Let's discuss these two investment instruments both in terms of understanding, advantages, disadvantages and risks, so that we can conclude which one is better.

Shares are proof of capital participation, meaning that we participate in owning a business, according to the capacity or number of shares we have. Some stock advantages such as capital gains and investors will also get dividends or a share of business profits and can submit voting at shareholder meetings.
While stock disadvatages will depend on the company's performance, if the company loses there will be a capital loss because the stock value drops and maybe dividends will not be received or distributed. and if the company is liquidated then the stock investment will most likely be lost.

Bonds are a form of debt acknowledgment issued by a company or government agency and there is a tenor when the maturity date or the bond will be paid. One of the advantages of bonds, investors will get a fixed interest (coupon) that is higher than the bank interest rate. and often if the bonds issued by the government will get a capital gain. If the company goes bankrupt or is liquidated, the bondholders can claim the company's assets in court. Disadvantages obligasa, if we need emergency money, because the bonds have not yet matured, then if investors sell bonds in the secondary market, they will lose, because the price is below the bond value.
After comparing the advantages and disadvantages of these two investment instruments, of course, you can draw conclusions. In your opinion, which is better, stocks or bonds?



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[Jasz]

We could say that stocks are more profitable than bonds. A bond is a debt security issued by a company (or government). The issuer promises to make periodic interest and principal payments over time. The investor may also have the option to redeem the bond before it matures, in which case they get back their original investment plus any interest accrued since purchase.

A stock is a share of ownership in a corporation. Stocks represent ownership of a company and its earnings. A stock's price reflects its value relative to other comparable companies' stocks.

Since stocks are more volatile than bonds, they can offer greater potential profits, but they also carry greater risks as well. However, bonds pay interest whereas stocks do not. In a low interest rate environment, bonds can be a better investment than stocks if your money is tied up in the bond for many years (or decades). But if you have the ability to choose between stocks and bonds, I would go with stocks unless you plan on holding them for a long time.

 

[Yugocean]

Stocks are ownership, and Bonds are loan.
So when it comes to invest, choose what you want.
Stock will either earn you profit or loss, depending on company's market performance, and Bond will earn you interest on what you have invested. This means Bonds are safer and Stocks are high yield.
For example El Salvador based Bitcoin City has planned Bitcoin Bonds (people have to give them loan for receiving interest).

 

[King bell]

In terms of profit, it's difficult to say which is more profitable: stocks or bonds. Considering the risks involved with each, some people might lean more towards stocks if they're a risk taker, and others might lean more towards bonds if they're not. The best way to find out which is best for you is to do your own research on the topic (or consult an expert).

A significant amount of money can be made through investing in either type of security or both, but there are different investment strategies employed by professionals that may work better for some than others. If you are interested in investing in either, do your research and stay informed.

The main thing to understand about these investment instruments is that they both carry risk – there is no surefire way to "win" at playing the market. Whether you put your money into stocks, bonds, or a combination of both, there are associated risks with each option.

One way to decide which is better for you might be to first determine how much money you're willing to invest in either stocks or bonds. Some people will only be able to afford a certain amount of money for investing – perhaps only $5,000 or $10,000.

 

[Seema S]

Bond is working for me. Its all up to the market and your investment propose.

 

[cmoneyspinner]

Stocks are ownership, and Bonds are loan.
So when it comes to invest, choose what you want.
Stock will either earn you profit or loss, depending on company's market performance, and Bond will earn you interest on what you have invested. This means Bonds are safer and Stocks are high yield.
For example El Salvador based Bitcoin City has planned Bitcoin Bonds (people have to give them loan for receiving interest).

Yes. The difference you spelled clearly in your first statement is what people, individuals, should consider. My first job when I graduated from univerity was in the accounting department at a savings and loan institution. I used to maintain the investment portfolio. I noticed that we had quite a selection of stocks AND bonds. Many individuals include bonds for their retirement portfolio.

 

[Yugocean]

Yes. The difference you spelled clearly in your first statement is what people, individuals, should consider. My first job when I graduated from univerity was in the accounting department at a savings and loan institution. I used to maintain the investment portfolio. I noticed that we had quite a selection of stocks AND bonds. Many individuals include bonds for their retirement portfolio.

Indian government under Mr Modi issued numerious Tax Free Bonds to attract investors invest in government schemes. This helped government to increase developement without levying more taxes. That was the fines move by the government, but all bons period are coming to an end slowly. Many people depends on those bonds, and they too are trying to get other sources of earning. Tax Free is the best benefit of bonds, but only Government have this previlidge. I will not hesitate to invest in any bond that allow us to have those benefits.

 

[Mika]

Stocks and Bonds both are profitable investment, however, which one is more profitable depends on a lot of factors. While stocks do not offer any kind of fixed returns, bonds offer a fixed return on your investment. In other words, your return on stock investment could be 20 percent or zero, or even you might be at loss, however, bonds offer fixed return (in our country bonds offer 10-13 percent return on investment). Prices in the stock market fluctuates, however, when you invest in bonds you do not have to worry about any kind of market risks because no matter how the market performs, you will get guaranteed returns. When you want to invest in stock market, you can start small, however, in order to invest in bonds, you need sizeable money. Even though bonds are comparatively safer investment, bonds are also not 100 percent risky proof. The best way to invest in the market is to diversify your investment.