Check Bonds’ Credit Worthiness
Radio Transcript, 60 seconds, for use during week
of October 29.
This is an Invest Wisely minute brought
to you by Iowa State University Extension.
When buying bonds, be sure to check the credit worthiness of
the bond issuer. This is rated by commercial firms such
as Moody’s and Standard and Poor’s.
The lower the bond rating, the higher the risk. Investing
in lower-rated junk bonds is risky. Stick to higher rated
investment grade bonds.
Government bonds have no default risk. Their rates set
the floor on rates for all other bonds.
Invest Wisely comes from Iowa State University Extension through
a grant from the Investor Protection Trust providing investor
education on the web at investorprotection.org.