Where can we find guaranteed returns? There was a time where the bank would pay a decent return on CDs or money market accounts. Heck, even our savings account used to pay us a decent, risk-free return. But with the Federal Reserve driving interest rates down to zero during the financial crisis, our risk-free returns simply vanished.
The most obvious place for guaranteed returns comes from Treasury bills, notes and bonds. For quick reference, Treasury bills — or T-bills — mature in one year or less. Notes mature in two to ten years and Treasury bonds mature in 10 to 30 years. From a default standpoint, Treasuries are considered risk-free by most investors. Note that these are not guaranteed returns, but they are highly, highly likely returns. Investors who feel comfortable doing so, can buy bonds in individual stocks.
Source: Investor Place
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