|
|
Fixed Income Securities
Add Another Level of Stability to Your Investment Portfolio
|
Regular investment income can be a desired objective particularly for investors near or at retirement. Bonds, both taxable and tax-exempt, are a popular investment choice for the strategy.
When you invest in this instrument you are in essence making a loan to the issuer of the bond, which can be a corporation, a municipality, the US Government, or Federal and Local agencies. Interest payment dates are preset as well as the maturity date. The consistency of the interest payments is a favored feature for investors who live off of their investment portfolios.
When you invest through an investment representative, you’ll have access to the broad universe of fixed income securities available today, providing even more flexibility and diversity in your financial planning.
Evaluate Bonds as a Part of your Investment Mix
In additional to current income, bonds generally provide the following features:
~ Diversification to an Equity-oriented portfolio
~ Generally reduced volatility of principal compared to equity securities
~ Safety and liquidity through US Government issues
~ Vehicle to reduce taxes
A Brief Primer on Bonds
Type:
|
Taxation:
|
Risk Factor:
|
Corporates
|
Taxable
|
Highly rated/lower risk
|
Municipals
|
Federally Tax-exempt*
Exempt from State and Local taxes in certain cases
|
Highly rated/lower risk
|
US Government
(Treasury Bills, Notes & Bonds)
|
Exempt from State and Local Taxes
|
Maximum safety
|
Agency Issues
(i.e. GNMA, FNMA)
|
Taxable
|
Marginally higher risk than Treasury Bonds
|
Call or stop by today to schedule a consultation with an Registered Representative* located in your local bank.
*Registered Representatives offer security products and services through PFIC Securities Corporation, member NASD & SIPC. Not affiliated with InvestorServices or the bank.
Not a Deposit Not FDIC/NCUA Insured Not Insured by any Federal Government Agency
Not Guaranteed by the Depository Institution May Go Down in Value
|
