Friends,

Bonds return are usually in the region of 4 - 5% p.a., may go up to 8% if you trade it or go for speculative bonds.

Now, ask yourself, you as a bond holder will need to study the bond. You need to calculate its Macaulay Duration, its convexity, the Yield to Maturity etc. All these need effort and for what? For a 4-5% return?

It is just me, but I rather let the professional bond trader or bond fund manager manage my bond portfolio knowing that bond management charges are usually low anyway hence you don't overpay much.

With the time and effort saved, I rather use it to trade in stocks which has a larger quantum of gain potential. Minimum effort, maximum gain should be the way.

p/s my two cents worth.

Xuzen

This post has been edited by xuzen: Sep 5 2020, 11:01 AM