U.S. Savings Bonds
A U.S. government savings bond that offers a fixed rate of interest over a fixed period of time. Many people find these bonds attractive because they are not subject to state or local income taxes. These bonds cannot be easily transferred and are non-negotiable. Investopedia Says:
U.S. savings bonds are one of the safest types of investments because they are endorsed by the federal government and, therefore, are virtually risk free. Although these bonds do not earn much interest compared to the stock market, they do offer a less volatile source of income. Related Terms:
Bond
Interest Rate
Intermediate/Medium-Term Debt
Money Market
Non-Negotiable
Tax-Exempt Security
Treasury Bill - T-Bill
Treasury Bond - T-Bond |