When it comes to investing, many people are most interested in stocks. Stocks are exciting. They move fast and can generate huge returns in a very short time. There’s a little bit of danger involved – like the sports cars of the investing world. Of course, that means they often stall – and if you’re not paying attention, they can crash pretty spectacularly.
That’s where fixed-income investments come in. They’re stable, dependable, and they deliver returns in the form of fixed periodic payments. They’re like a slow-moving passenger train; they don’t exactly get your heart racing, but you can depend on them to get the job done. That’s why most advisors recommend that everyone set aside a portion of their portfolios for fixed income products, such as bonds, money market funds and Guaranteed Investment Certificates (aka GICs).
GICs? Bet you didn’t consider those, right? According to Tim Wilson, Vice President and Chief Financial Officer at Equitable Trust, they’re a vehicle that investors often overlook, even among fixed income options. But maybe they shouldn’t. Find out why they deserve a second look in my new article on GoldenGirlFinance.com.