What are stocks or shares?
The shares/stocks represent the ownership of a company. If that company has issued 10,000 shares and you own let’s say 100 shares, this means that you own 1% of that company. You are a shareholder. Some companies only have a few shares, others have millions of shares and hundreds of thousands of shareholders or owners. […]
Premium and Discount bonds
Are you aware of the difference between premium bonds and discount bonds? Investors purchasing Bonds on the primary market (the initial issue of the bond) usually pay the face value of the bond which is usually but not always $100. After that, on the secondary market, the price of the bond will fluctuate mainly due […]
Major factors impacting bond price movements
The price of bonds are impacted by various factors. Some are due to the economic and market conditions, and some that are related to the bond and issuer. Investors Interest: During economic uncertainty, some investors may reduce their investment in equities and increase their focus on safer income style investments like bonds. This will increase […]
Beginners guide to Bonds
A bond is a form of debt and allows companies to raise money from the general public instead of going to the banks. The companies in return pay an agreed interest rate to the investor of the bond. Why invest in bonds? Generally a bond returns a regular, guaranteed income for the term of the […]