They pay you a fixed set of payments, known as the coupon , usually twice a year.
You can buy U.S. Treasuries (including the popular inflation-protected I Bonds ) at TreasuryDirect.gov. buying bonds for beginners
When you buy a bond, you are the lender. The entity you’re lending to (the ) promises to do two things: They pay you a fixed set of payments,
Generally considered the safest. You’re lending to the federal government. They have lower interest rates because the risk of not being paid back is almost zero. When you buy a bond, you are the lender
On a specific date (the maturity ), they give you back the full original amount you lent them (the face value ). 2. Common Types of Bonds
You don't need a suitcase of cash to start. There are three main ways:
Bonds act as the "ballast" on a ship. When the stock market gets rocky, bonds tend to stay much steadier. They provide a predictable and preserve your capital for when you need it later.