Q for Hedge

Out of context: Reply #18

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  • monNom0

    I think you need to be clear on what sort of 'government bond' you're suggesting. Municipal bonds for instance are actually kinda risky these days (but higher yielding)... and when buying a treasury, unless you hold it until maturity the value of it may fluctuate when you sell it on. (eg: if buyers anticipate inflation, or if better returns are available with equal risk, your bond is worth less on the open market)
    AFAIK Savings Bonds are the safe instrument with no fees involved to redeem, no market risk, (and a lousy return).

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