@Michael: I agree with your comment that
the main value of bonds for long - term investors is lowering portfolio volatility.
Not exact matches
Investors need to be aware
of two
main risks that can affect a
bond's investment
value: credit risk (default) and interest rate risk (rate fluctuations).
The
main risk when considering long - term
bond investment is that when the rates rises, the
value of bonds decrease.
The fact that you can buy a
bond in the secondary market at a price different from its stated face
value is one
of the
main sources
of confusion about
bonds.