Bonds are one type of investment asset that you can try, Jeje. Well, there are some interesting facts about bonds that you need to know!
There are various types of investment assets, from stocks to gold. On the other hand, bond investment is also an attractive option for investors !
Actually, what is a bond?
For those of you who don't know about bonds, quoted from the Financial Services Authority (OJK) page, bonds are medium to long-term debt securities that can be traded.
Thus, the bond contains a promise from the party that issued the Securities to pay a reward in the form of interest or coupons within a certain period to the bond buyer. The party issuing the bonds will also pay off the principal at the end of the specified time.
More than that, here are 4 interesting facts about bonds that you need to know!
1. Bond Risk Depends on the Issuer
Before you buy a bond, it's also important that you know and know the issuer of the bond, you know ! Reporting from the official OJK website, knowing the issuer of the bond can help in measuring risk.
For example, there is a possibility that the issuer of the bond will not be able to pay the coupon and/or principal of the bond on time!
Basically, bonds are issued by corporations or companies, governments, to supranational institutions. Bonds issued by companies, both private companies to BUMN and BUMD, are called corporate bonds.
Meanwhile, bonds issued by the government are also known as retail Government Securities (SBN). SBN also consists of ORI (Retail State Bonds), SBR (Retail Savings Bonds), SR (Retail Sukuk), and ST (Savings Sukuk).
Unlike corporate bonds, government bonds or SBN are actually less risky because investors' funds are guaranteed by law. More precisely, Law No. 24 of 2002 concerning Government Securities and Law No. 19 of 2008 concerning State Sharia Securities.
2. More Certain Profits
When you invest in bonds, you certainly have the opportunity to have passive income from paying bond coupons regularly, Jeje. Wow, that's fun!
There are two types of interest calculations made by issuers to pay bond coupons, namely fixed rate and floating rate . The fixed rate has been submitted when the bonds are issued, while the floating rate is given with reference to the prevailing interest rate.
3. Can be sold in the secondary market
Not only money from coupons, you can also earn money from capital gains emers ! you can get it if you sell bonds in the secondary market.
Like stock investment instruments, bonds can be traded in the primary or secondary markets. Hence, bonds can also be liquid .
For your information, the primary market is the market where securities are first issued/offered to the public. While the secondary market is a continuation of the primary market, namely the market where securities that have been listed on the stock exchange can then be traded.
Now, in this secondary market, investors have the opportunity to buy or sell securities listed on the Exchange after the initial public offering is made.
4. Bonds are Easy to Buy Through Fintech
Time is getting more sophisticated. Now, to invest in bonds, you can do it through fintech companies, you know !
One of the financial technology ( fintech ) companies that you can use for bond investments is Moduit, Jeje. As fintech that focuses on Wealth Management , Moduit helps customers assess their investment needs, including products that are suitable for customers.
Now, for customers who need bond products in their investment portfolio, Moduit is now able to provide SBN and Secondary Bond , both government and corporate bonds. This is done by Moduit in cooperation with PT Trimegah Sekuritas as a Securities Company.
Besides that, you don't need to hesitate, Jeje. You see, Moduit has professional advisors who will provide investment advice and also help customers to carry out the administrative process of purchasing bond products.
So, as a customer, you don't have to bother doing research, searching for products and opening an account independently. In addition, Moduit will help customers to open accounts with securities companies so that they are ready to carry out bond transactions according to investment advice.
Oh yes, in May 2022, Moduit will make it easier for you to invest in bonds through the application you know ! Wow, that's really fun!
Meanwhile, Moduit currently has more than 100 advisors who are experienced in their fields. Don't worry, Moduit is already registered and supervised by the Financial Services Authority (OJK) you know !