A bond is a debt investment. I ll explain: When you buy a bond, you invest by lending money to a corporation or government whoever issues the bond. This issuer can go to town with your money BUT only for a specific time then, it s time to pay the pauper. You!They repay the money you graciously loaned them, PLUS interest. Which is nice. Considering everyone else probably CHARGES you interest. All this is why Bonds are also known as fixed income investments because you earn interest at a specific rate on a regular schedule until that bond matures. Some people buy bonds for the fixed income. Some like to trade bonds to make money when they sell.
