Series: For Dummies
Paperback: 288 pages
Publisher: For Dummies; 1 edition (October 26, 2015)
Language: English
ISBN-10: 1119121833
ISBN-13: 978-1119121831
Product Dimensions: 5.5 x 0.6 x 8.5 inches
Shipping Weight: 12.6 ounces (View shipping rates and policies)
Average Customer Review: 4.5 out of 5 stars See all reviews (4 customer reviews)
Best Sellers Rank: #213,172 in Books (See Top 100 in Books) #40 in Books > Business & Money > Investing > Bonds #641 in Books > Business & Money > Investing > Introduction
I'm often disappointed by books in the "Dummies" series but this is exactly the elementary introduction to investing in bonds that I was looking for. I've followed the stock market and bought and sold individual stocks since I was child but I've never bought an individual bond. Financial advice books like Personal Finance After 50 For Dummies routinely mention that people should have a diversified portfolio of stocks and bonds but they never seem to explain how exactly one would go about buying a bond. I think the expectation is that you need to consult a financial advisor or a full-service broker but I am loathe to spend money on financial advice that I should be able to learn on my own.This book explains why buying bonds online, although doable, is not as straightforward or inexpensive as buying common stock online simply because the bond market has not undergone the revolution in reduced fees that the stock market has seen (I remember the days before discount brokers to say nothing of online trading). Some key takeaways from this book include: you need about $350,000 to make buying individual bonds make sense, otherwise stick to bond funds or ETFs, and if you do buy individual bonds, don't expect to sell them before maturity because of the (mostly hidden) fees you will incur.The author is mostly familiar with online bond-buying through Fidelity, which is fine with me personally but his tips may or may not apply to other brokers. I haven't yet decided if I should devote a significant portion of my portfolio to individual bonds but I now at least understand how to research the hidden fees and how I might go about building a "ladder" of diversified bonds.
Great read for the beginner.
All you will every need to know about bonds.
great thanks
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