Category: Investment

What is a Junk Bond?

Junk bonds are considered by the market the bonds that are more likely to produce a default. This debt is issued by companies or states that have a low rating or rating to be at higher risk of default than others with higher quality ratings. Many are the reasons why these issuers have low ratingsā€¦

What is a Bond?

A bond is a debt instrument. At the time of the purchase it is known the exact profitability the investor is going to get for that investment. Companies issue bonds to finance new projects or to renovate already existing projects, in exchange of a future money return to the investor. The return on bonds depends