A Invest Co.

401 K Plan


Contract a corporation issues that promises to repay borrowed money, plus interest, on a fixed schedule

Types: http://www.investopedia.com/university/bonds/bonds...

Corporate Bonds

-help businesses expand

-bond of debt obligation (an IOU)

- investors buy corporate bonds are lending money to the company issuing the bond

-companies pay interest on principal and return principal when bond matures

Information: http://www.sec.gov/investor/alerts/ib_corporatebon...

Certificate of Deposit

Savings certificate

-receives interest

-maturity date

-fixed interest date and be issued in any denomination

-issued by commercial banks/insured by FDIC

-rages from 1- 5 months

Municipal Bonds

-makes state and local projects possible

two categories:

General obligation:

-issued by governmental entities but aren't backed by revenues

-some backed by dedicated taxes on property

Revenue bonds:

-issuers: non-profit organizations, private-sector corporations

-secured by revenues generated by issuers or by certain taxes like sales tax

More Information: https://www.fidelity.com/fixed-income-bonds/indivi...

Money Market Mutual Funds

-offer convenient parking place for cash reserves when an investor is not quite ready to make an investment

-can transfer assets from one fund to another

-offer safety and liquidity

Junk Bonds

-high-risk, high-yield corporate bond

Information: http://www.hedgefund-index.com/d_junkbonds.asp

-many investors think of these bonds as investment scams

-same as regular bond

-IOU from a corporation or organization that states the amount it will pay you back and the date it will pay you back and interest

-differ because of their credit quality

More Information: http://www.investopedia.com/articles/02/052202.asp

Government Savings Bond

-save is reliable, low-risk, government-backed product

-supplement your retirement income

Information: http://www.treasurydirect.gov/indiv/research/indep...

Treasury Notes and Bonds

Information: http://www.investinginbonds.com/learnmore.asp?cati...

Bonds: pay interest every six months and mature in 30 years

Notes: government securities that are issued with maturities of 2,3,5,7, and 10 years and pay interest every six months

More information: https://www.treasurydirect.gov/indiv/products/prod...

Treasury Bills

- ranging from a few days to 52 weeks

-sold discount from the par amount (face value)

-when it matures you get the full amount

Information: https://www.treasurydirect.gov/indiv/products/prod...


-stock or other security representing an ownership interest

Information: http://www.investopedia.com/terms/e/equity.asp

Package 1

401 k


Government Savings Bonds

Package 2: DIY

Pick any three you want

Package 3

Municipal Bonds

Corporate Bonds

Money Market Mutual Bonds