Other Bets Props and Futures Some other fun bets that can be made on basketball include prop bets and futures. How To Bet News. Handicapping Your Basketball Bets When oddsmakers set the lines, they take many factors into consideration. If you have even one loss, you lose the entire bet. On the other hand the Magic must either win outright or lose by 3 or fewer points for a Magic spread bet to payout.
The Federal Trade Commission advises that gold prices can go up and down and that you should investigate any company that you use to invest in gold before you buy. Certificates of Deposit Certificates of deposit are bank accounts that offer a fixed rate of interest for a specific period of time and are protected by the Federal Deposit Insurance Corporation. But in the event you take out your money before the term ends, you will usually pay an early withdrawal penalty.
Corporate Bonds When companies need to borrow money, they usually issue bonds — bonds that anyone can purchase either from the company or on the secondary market. A bond pays interest over a set period of time, and then it pays the face value of the bond when it matures.
The interest rates vary depending on the risk of the borrower defaulting — the higher the risk, the higher the interest rates. That said, while corporate bonds are often very safe, there are no guarantees — with default or bankruptcy, you could lose most or all of your investment.
Commodities Futures You can buy and sell contracts for future commodities including foodstuffs like corn or grain and metals like copper. As the supply and demand for that commodity changes, so does the value of the contract, so you could make a lot of money — or lose a lot. Investing in commodities can serve as a hedge against inflation, but this is a complicated market with a variety of highly competitive players, so enter the fray with extreme caution if at all.
You can use it when you want to take a trip, and then rent it out to cover your costs while the real estate hopefully appreciates. So in the event, you need your money out in a pinch, you might have to wait to find a buyer. Cryptocurrencies Cryptocurrencies are non-centralized, digital currencies gaining popularity around the world.
Learn: What Is Bitcoin? Investing In Cryptocurrency Explained Municipal Bonds City and state governments also issue bonds to raise money for projects such as building new schools or highways. If you're using a mouse, point to the lower-right corner of the screen, move the mouse pointer up, and then select Settings. Select About, and then tap or select Product Details to see a list of supported stock exchanges. FAQ How do I research my favorite indices? Option 2 Swipe down from the top of the screen, or right-click with your mouse.
In World Markets, you can see other international market indices. Tap or select an index to see the Index Details page. Option 3 You can also find major stock markets through the search bar. Start typing in the app to display the search bar and select a search term.
Tap the index that you want to view. You can also search for additional markets by using the Search icon at the bottom of the screen. How do I pin my Watchlist to the Start screen? You can add the top five stocks in your Watchlist to the Start screen to see live updates about them. Swipe down from the top of the screen, or right-click with your mouse.
Tap or select the Watchlist button. Swipe down from the top of the screen, or right-click with your mouse, then tap or select Pin to Start. Enter a name or accept the default name, Watchlist — top 5, for the tile that will be placed on your Start screen. The top five items in your Watchlist will be pinned as a tile at the end of your Start screen and you can view the updates for these stocks by selecting the tile. You can also change the order of the items in the Watchlist that are displayed in the tile.
How do I see financial news from other sources? In the Windows Phone app just tap at the bottom of any screen to find additional stories or sources. For the Windows app: Swipe down from the top of the screen with your finger or right-click with your mouse to open the navigation bar. Under Featured you'll find a selection of featured sources of financial news.
Tap or select your choice to go straight to content from that source. If you would like to browse a large list of financial sites around the web, tap or select Best of Web in the navigation bar. How do I see the top gainers and losers for the day?
For the Windows app: Swipe down from the top of the screen. Then tap or select the arrow next to the Market button. From the available subcategories, tap or select Market Movers. For the Windows Phone app: In the phone app, swipe to the more section of the app and tap the World Markets tile. Tap the tile for any market, then swipe to the movers section. On the Today page, go to the My Money cluster next to the Watchlist.
Choose your online broker by slecting the corresponding tile to go to its sign-in screen. Enter your sign-in info and tap or select the Done button at the bottom. If authentication happens successfully, you'll see the Select Accounts screen, where you can select accounts to add to My Money. By default, all your accounts will be selected. If you're adding an account for the first time, you'll be asked to create a one-time 4-digit PIN to help secure your personal data on the device.
Create your PIN, then tap or select the Done button at the bottom. The brokerage account s will be added to the My Money cluster. You can tap or select the tile to view details including account balances, positions, transactions, etc. For the Windows app: Tap or select any brokerage tile from the My Money cluster on the Today page to go to its details page. Swipe down from the top of the screen or up from the bottom to bring up a menu. If you're using a mouse, right-click anywhere on the page to see the menu.
On the bottom menu, tap or select Pin to Start. You can choose to edit the name that appears on the pinned tile. Tap or select Pin to Start. You've successfully pinned your favorite broker to Start. Tap or select that tile for easy access to your favorite broker's details page. How secure is the My Money feature? We're committed to help keep your data safe and secure.
All communication with your online brokerage happens over advanced Secure Socket Layers SSL to help assure maximum safety. A 4-digit PIN set by you helps keep your account data secure. The PIN helps to encrypt your data, maintain your privacy, and it can also help protect your data in case your device is stolen. The PIN is applicable to this device only. We don't store your personal data on our servers. The permission level on your data is read-only and no one can trade, withdraw, or move your money.
What is the exchange rate of my local currency? In the Windows Phone app, swipe to the more section of the app and tap the Currencies tile. From the available subcategories, tap or select Currencies. A currency converter tool is also available on this page. What information will I be able to view for my brokerage account? On the details page, you'll see the following features: The left-hand side panel gives an account summary of all accounts that you have added from a particular broker.
Portfolio mix gives an overall composition of your portfolio and how it is divided among the securities you own. The Movers section shows the top gainers and losers in your portfolio to help you gauge the movement of your securities. Transactions section shows the transactions you have made in this account in the past year.
Where are the Financial Institution logos in 'My Money' section? If you've just installed and launched your app for the first time and you don't see the Financial Institution logos, just close and re-launch your app and you should see them. Where did my My Finance app go after the latest upgrade? To find it, search for Money in your app list.
My Finance has been rebranded to 'My Money'.
Shopping recommendations that help upgrade your life, delivered weekly. Sign-up here. With that in mind, let's go back to my earlier point. If rates are going up and bond prices are going down, why would I want you to think about bonds? Firstly, bonds as a general asset class have a lower risk measure than stocks. Secondly, bonds generally pay you a coupon — monthly or quarterly, depending on the bond — that provides you with income as part of your investment. With interest rates on the rise, bonds will pay higher coupons.
That said, bonds in general can be complicated and are not without risk. You need to consider interest rates and credit risk — how worthy the borrower or issuer is — before jumping in. If you look at shortening the duration of the bonds you own, it will help to limit the potential damage that can happen if interest rates rise. If you can attempt to remove the interest rate risk by hedging, bonds become much more interesting. There are investment strategies that concentrate on short duration, while others focus more on the products that hedge the interest rate of bonds, which essentially mitigates the risk and makes the move in rates much less impactful.
An example of an interest rate hedged bond strategy is when you invest in portfolios of investment-grade or high-yield bonds and include a built-in hedge to mitigate the impact of rising Treasury rates. In most cases, these products do their best to eliminate rate risk while short duration strategies only limit your exposure.
You can also express this through asset classes such as floating rate investment grade bonds, bank loans and treasury inflation protected securities, or TIPS. All of this can be expressed via exchange-traded funds, also called ETFs , and mutual funds. When researching which funds work best for you, consider the track record and expense ratios before making a decision. You should also consult with a financial advisor if you have one.
You should also consider your equity portfolio when rates are on the rise. Just because interest rates are going up, it doesn't mean you can't still invest and make money in stocks. That said, not all stocks react in the same way in a rising rate environment, so it's important to research this beforehand. Certain sectors such as financials have been historical over-achievers.
Energy and materials have also done well due to the increase in prices inflation that comes along with rising interest rates. Personally, I have been focused on stocks that pay dividends. These types of stocks are generally lower in risk, are historically solid companies with long track records and have cash on hand to sustain market volatility — plus, they pay you dividends. What Investors Need To Know About Bonds The most important characteristics of a bond from an investment perspective are its maturity and its yield.
Load Error Bond Maturity A bond matures when it reaches its set repayment date and the issuer pays back the principal — the amount you initially invested. The value paid at maturity is also called the par value. Some bonds never reach maturity. For instance, callable bonds give the issuer the right to pay back the loan at certain specified times before maturity, often for a premium price. When this happens, investors have no choice but to give up the bond in exchange for the promised payment.
Most bonds are sold at par value and pay interest through coupon payments, usually issued every three or six months. Most bonds offer a fixed rate that pays the same yield year in and year out. What Are the Risks of Investing in Bonds? Although there are a number of risks associated with investing in bonds, two of the biggest are interest rate risk and credit risk. Interest Rate Risk Interest rate risk refers to how bond prices trade down when interest rates rise.
Maturing bonds are continually reinvested by fund managers, so no principal is returned to investors. Thus, bond funds are subject to more interest rate risk than individual bonds, which have prices that will eventually trend towards maturity value.
Savings bonds issued by the U. Treasury bonds are issued by the federal government and are backed by the full faith and credit of the U. What Investors Need To Know About Bonds The most important characteristics of a bond from an investment perspective are its maturity and its yield. Load Error Bond Maturity A bond matures when it reaches its set repayment date and the issuer pays back the principal — the amount you initially invested. The value paid at maturity is also called the par value.
Some bonds never reach maturity. For instance, callable bonds give the issuer the right to pay back the loan at certain specified times before maturity, often for a premium price. When this happens, investors have no choice but to give up the bond in exchange for the promised payment. Most bonds are sold at par value and pay interest through coupon payments, usually issued every three or six months.
Most bonds offer a fixed rate that pays the same yield year in and year out. What Are the Risks of Investing in Bonds? Although there are a number of risks associated with investing in bonds, two of the biggest are interest rate risk and credit risk. Interest Rate Risk Interest rate risk refers to how bond prices trade down when interest rates rise.
They pay a wide range of interest rates depending on the creditworthiness of the borrower and maturity. Longer-term bonds typically offer a higher yield than short-term bonds. These bonds are usually divided into two categories: Investment-grade bonds are issued by companies that have earned a credit rating of at least triple-B from the credit-rating agencies.
High-yield bonds formerly known as junk bonds are issued by companies with lower credit ratings, which means they present a higher risk. But in exchange, these bonds also offer a higher yield than their investment grade counterparts. Mortgage-backed securities Government-sponsored enterprises such as Fannie Mae and Freddie Mac offer a special type of bond called a mortgage-backed security , or MBS. These companies create bonds whose payments are derived from the mortgages that back them.
So an MBS may have tens of thousands of homeowners supporting the payment of the bonds through their monthly home payment. Bonds issued by Fannie and Freddie are not guaranteed by the government, though bonds issued by government agency Ginnie Mae and by other firms qualified by Ginnie Mae are backed by the federal government. Money Talks News Advantages and disadvantages of bonds Bonds offer benefits that make them a valuable counterpart to stocks in most investment portfolios.
While stocks tend to offer higher returns, bonds offer other advantages: Steady income: Bonds tend to offer relatively predictable returns, including regular interest payments. Diversification: Bonds perform differently as investments than stocks, which helps to reduce the long-term volatility of a portfolio. Here's why diversification is valuable.
Lower risk: Bonds generally offer a higher degree of security than stocks, though some bonds are riskier than others. But those advantages are balanced with the following disadvantages: Lower risk, but lower return: The trade-off for less risk is less return. So bonds are typically a "slow and steady" investment, in contrast to stocks.
Price depends on interest rates: The short-term price of bonds relies on interest rates, which investors can't control, and investors generally have to take whatever rates the market offers or get nothing, creating substantial reinvestment risk. Heavily exposed to inflation: Because bonds pay a fixed return unless they're floating-rate bonds , their value can decline precipitously if inflation moves up substantially. These are a few of the most significant downsides to bonds, but the asset class has performed well in the U.
Basics of a bond quote While stocks usually come in one variety - the common stock - bonds from the same company can have many different terms, including the interest rate, the maturity and other items called covenants, which may limit how indebted the borrower can become or stipulate other conditions.
A bond quote incorporates some of these items as well as giving you the last traded price. Let's look at an example from Apple, which has dozens of separate bonds outstanding. A bond quote includes the name of the issuer, here Apple, as well as the coupon on the bond, 2. It includes the maturity date of the bond, August 5, The "call make whole" feature allows the company to redeem the bond early as long as it pays investors the net present value today's value of the future interest payments of the bond at maturity.
The rating means that Apple is judged as having very good credit and that this bond is considered very safe. A bond's rating is very important in determining how much interest the company will pay on it. A lower rating will cost the company more in interest payments than a higher rating, all else equal. Popular bond-buying strategies If you're buying bonds for income, then one of your primary concerns is interest rates and where they're going - up, down, or sideways.
If rates rise, then the value of your bonds falls. If rates fall, then the value of your bonds rises. But bond investors are also concerned with reinvestment risk, that is, will they be able to earn an attractive return when their bond matures? So, bond investors are constantly trying to optimize the current income from their bond portfolio versus the income that they might be able to earn in the future. The following strategies are among the most popular: Ladders With this strategy, an investor buys bonds with staggered maturities say, bonds that mature in one year, two years, three years, four years, and five years.
Then when a bond matures, it's reinvested in a longer maturity at the top of the ladder. This strategy is useful when you want to minimize reinvestment risk without sacrificing too much return today. If rates rise in the future, you'll be able to capture some of that rise.
Barbells With this strategy, an investor buys short-term bonds and longer-dated bonds but doesn't buy medium-term bonds. This strategy allows the investor to capture the higher yields on long-term bonds while still maintaining some access to cash with a series of lower-yielding short-term bonds. However, long-dated bonds can fluctuate a lot if interest rates rise. Bullets In this strategy, the investor buys bonds over a period of time that mature at roughly the same time.
For example, if you know you have a big expense in five years, you can buy a five-year bond now, and then a four-year bond when you have more money next year. In three years, you can add a two-year bond. Then at the end of the original five-year period, you'll have all the money available at the same time when you need it. In each case, the strategy should reflect your anticipated needs as well as your expectations about how the market and interest rates will perform over time.
Are bonds a good investment? Whether bonds are a good investment depends on several factors, including your risk tolerance, time horizon and investment goals. Bonds tend to be less risky than stocks, but that means they generally come with lower average returns. That is especially true for U. Treasury bonds. In other words, bonds have lower risk, which means less potential reward.
However, that doesn't mean bonds are necessarily a bad investment. Bonds also tend to be less volatile than stocks, which means they can help smooth the ride of a bumpy stock market. Stocks have outperformed bonds over time, but if dips in the stock market could cause you to sell your investments, bonds will help make those dips less pronounced on your portfolio overall.
Lastly, if you are nearing retirement, it is a good idea to have a significant bond position in your portfolio. This is because market cycles can last several years. Thus, if the stock market starts to decline and you are close to retirement, your stocks may not have time to recover. That could jeopardize your retirement date, forcing you to work more years than expected. The common wisdom is to add more bonds to your portfolio as you inch closer to retirement.
In doing so, you reduce your risk over time, locking in a comfortable, financially secure retirement. Do bonds go up when stocks go down? Bond yields can sometimes increase when stocks go down, but there is no rule saying that must be the case.
If this does happen, though, it is usually because the economy is slowing, thus increasing the attractiveness of safer investments like bonds. In addition, a slowing economy often leads to lower interest rates. When interest rates fall, older higher-rate bonds become more valuable.
The inverse is also true: rising interest rates means lower-yielding bonds are less attractive, driving down their value. Bonds with a longer maturity rate are more sensitive to interest rate changes. Keep in mind that bonds do not always go up when stocks go down, or vice versa.
For example, low-grade "junk" bonds often move in the same direction as stocks. These bonds are higher-risk, higher potential reward and don't always behave the same way as safer investments.
Buying bond mutual funds and ETFs: You don't need to make decisions about specific bonds to purchase when you buy a bond mutual fund or exchange-traded fund (ETF). Instead, the fund . AdFor Income-Seeking Investors, the Challenge of Finding Durable Income Is a Major Worry. Find High Income Opportunities in Lower Rated, Higher Yielding Bond Funds. AdFor Income-Seeking Investors, the Challenge of Finding Durable Income Is a Major Worry. Find High Income Opportunities in Lower Rated, Higher Yielding Bond Funds.