Investing in Retail Bonds is Becoming More Popular

England 14/2/2013 – Investing in retail bonds is an investment vehicle that more people and corporations are interested in

Investing in retail bonds is increasingly being seen by investors as a way to diversify their investment portfolios. Retail bonds appeal on many levels to the complete spectrum of investors from private individuals to pension fund managers.

Bonds are an investment vehicle that most people are already familiar with and fully understand,this is part of the reason they appeal to so many investors. The fact that investors are lending to retailers also helps. Retail is a business model that most people are familiar with and feel that they understand. They know many of the retail companies who are seeking finance from selling bonds.

The fact that investors know what the return will be from a bond and how long their money will be tied up for adds to their appeal. Interest rates are generally far better than those currently being generated from other forms of investments.

Investing in retail bonds allows investors to control risk
It is also easy for investors to manage their risk. They can decide to buy retail bonds for specific retailers. If they buy bonds for well-established retailers who already have a strong retail presence, they can expect returns of around 5 or 6%. However, if an investor is happy to take more of a risk in return for better returns they can do so. Investing in new and emerging retailers can result in returns in double figures.

The majority of bonds pay interest once a year. However, there are some that pay out twice a year, for some investors this is important. This is especially so for those who use interest payments to subsidise their income, rather than just re-investing those funds. Importantly for some kinds of bonds, the interest accrued and paid is tax free, meaning that investors get to keep more of the money they make.

Firms like the Retail Bond Expert are seeing increased interest in this investment vehicle. Their no nonsense approach is helping hundreds of investors to enjoy good returns from retail bonds.

Contact:
Retail Bond Expert
70 St Mary Axe
London, UK
Zip: EC3A 8BE
Tel: 02031024118
Email: info@retailbondexpert.com
Website: http://www.retailbondexpert.com/