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Bond Ladder and Tools |
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The Fidelity Bond Ladder tool allows you to invest in multiple bonds with staggered maturities, in an effort to provide a consistent income stream and hedge against interest rate risk. As the bonds in your bond ladder mature, the Fidelity Bond Ladder tool allows you to select new bonds according to their maturities so you can reinvest the proceeds from the maturing bonds and maintain your income stream. The tool also allows you to compare bonds by coupon rates, yields, call dates, and ratings. Other bond and CD tools
In general the bond market is volatile, and fixed income securities carry interest rate risk. (As interest rates rise, bond prices usually fall, and vice versa. This effect is usually more pronounced for longer-term securities.) Fixed income securities also carry inflation risk and credit and default risks for both issuers and counterparties. Any fixed income security sold or redeemed prior to maturity may be subject to a gain or loss. A bond ladder, depending on the types and amount of securities within the ladder, may not ensure adequate diversification of your investment portfolio. This potential lack of diversification may result in heightened volatility of the value of your portfolio. You must perform your own evaluation of whether a bond ladder and the securities held within it are consistent with your investment objective, risk tolerance and financial circumstances. To learn more about diversification and its effects on your portfolio, contact a Representative: 1-800-343-3548. |
Want one-on-one help?Call a representative Ready to buy?Need more info?Get research & newsStay up-to-date with news, market data, and research on fixed-income investing and bond markets. |
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