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Best of Money Clinic: Investment Masterclass: Stuart Kirk has ‘skin in the game’

Money Clinic with Claer Barrett

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Why Should I Buy Bonds?

Bonds are basically debt that companies or governments sell in order to get money through the door. In return they pay the person who's given you the money a coupon or a return. Traditionally, people have owned bonds because they have been relatively safe. They've generated a yield that retirees have eaten from. But when equity markets have fallen, bonds have gone up. The trouble is for the last 10, 15 years or so, they have tended to move in line with equity markets.

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