Fixed income

someone in forum asked me about fixed income... lemme explain one of them

depends on what kind of fix income investment u looking for. I strongly discourage fixed deposits unless u have spare cash or your risk intake is very minimal. just to share with you one of the main fixed income.

Bonds:

Bonds usually acts inversely against the stock, they can be issued by companies or governments. U must also watch out for 'junk bonds' and bond ratings more or less useless hahaha... do own homework more important.

you can purchase bonds in many ways. Most commonly would be from open market, those will be considered secondary or 'recycled' bonds (dunnoe whats the real term, but i used that term for so long, stuck in my head) ok anyway... you can also purchase directly from companies issuing such bonds. Third you can also purchase unit trust and funds which invest in fixed incomes (again u must understand their operation and what kind of fixed income is being invested) Last but not least, make use of secondary tools to invest in bonds. One good way is insurance, insurance invest in approx 70%-80% bonds, that is why they are so sure of giving you a guaranteed return of approx 3.85% on average (my company gives 4.48%). The advantage of using such secondary tools is that the bonds purchased is cheap... the disadvantage is that it have to be kept for many many years (usually at least 20 years).

Some of my clients told me... i dun want insurance i just want fixed income investment... Sometimes when i look at their finances I also want them to have some insurance... if they dont like i will tell them "then benefeciary put my name, i let u earn the bond income" (they die i earn money hee hee hee, but in the end no one put my name... sob sob)

Bonds should be used in conjunction with your other investment as a hedge or long term retirement investment. You can either do a reverse funding, or you can do a lock in profit method way of investment for bonds. If u are familiar with the 4 beauties method and DCA method it will be very beneficial for such an investment

Enjoy the read!

(buy insurance look for me hor hahahaha)