Bonds: Earn a lot of money without equity risk - what you need to pay attention to

Bonds: Earn a lot of money without equity risk - what you need to pay attention to

According to a report by focus.de,

The article informs that bonds are currently an attractive alternative to stocks and fixed-term deposits. Rising yields in particular are making bonds interesting for investors again. It is also noted that bonds are less risky than stocks. Experts advise investing in different bonds and provide recommendations for choosing the right bonds.

In addition to daily and fixed-term deposits, bonds are now an interesting investment option again. Savers can earn significantly higher interest rates than with fixed-term deposits without having to take on any greater risk. The rising yields on bonds are attractive, especially when compared to the dividend yields on stocks. Due to their lower correlation with stock prices, bonds can also help diversify the portfolio and reduce risk.

The rising yields on bonds can have an impact on the market as investors invest more money in these fixed-income securities. This could cause demand for bonds to increase and therefore bond prices to increase. Bonds are also seen as a possible hedge against a possible stock market crash because they are less likely to lose value if stock prices collapse.

The recommendation to invest in short-term bonds shows that experts assume that interest rates could rise in the medium term. A rise in interest rates could have a particularly negative impact on long-term bonds, as investors would be tied to lower interest rates for longer.

The recommendations of bond expert Rui Soares give investors concrete advice on how they can benefit from current developments in the bond market. The variety of bonds and the opportunity to invest in different maturities and credit ratings allow investors to diversify their portfolio and benefit from attractive returns. The recommendation for an active fund to invest in high-yield bonds also shows that expertise and market knowledge play a crucial role in selecting the right bonds.