http://en.wikipedia.org/wiki/Fixed_rate_bond
Purchasing a fixed rate bond is knowing, from the very start, what to expect out of the investment. As such, beginners in the investment world, as well as more experienced but conservative ones see this as a good and stable option. Those who are not very well-versed in investments also stand to benefit, because it no longer becomes necessary to monitor every single change in the economy that have a detrimental effect to the expected return of the bond.
Purchasing a fixed rate bond is knowing, from the very start, what to expect out of the investment. As such, beginners in the investment world, as well as more experienced but conservative ones see this as a good and stable option. Those who are not very well-versed in investments also stand to benefit, because it no longer becomes necessary to monitor every single change in the economy that have a detrimental effect to the expected return of the bond.
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