I'm considering investing in bonds, but I'm aware that different types of bonds carry varying levels of risk. I want to know which type of bond is considered the most risky to invest in.
6 answers
CryptoBaron
Sat Nov 16 2024
High-yield bonds, often referred to as junk bonds, are considered the most risky among various bond types.
Federica
Sat Nov 16 2024
These bonds are issued by companies or entities that possess lower credit ratings.
HanRiverVisionaryWave
Sat Nov 16 2024
Due to their lower creditworthiness, these issuers are more likely to face financial difficulties.
CryptoDynasty
Fri Nov 15 2024
The risk of default is significantly higher for junk bonds compared to other bond categories.
Dario
Fri Nov 15 2024
Investors in these bonds seek higher yields to compensate for the increased risk.