Equity Investing Information

Stocks - Mutual Funds - Private Equity - Real Estate

Bond Funds

Bond funds are a type of managed, fixed income investment vehicle, where most or all of investors' capital is invested in government and commercial bonds.

It is important to remember that, although bond funds are characteristically very low risk in the long term, they can still fluctuate in the short term, significantly at times, and are adversely affected by rising interest rates. Declining rates, meanwhile, can have a positive impact on the price of these funds, as investors dump their GICs in favor of bonds.