Series I savings bonds became a surprisingly hot investment last year. In 2022, the S&P 500 index tanked by nearly 20%. But as inflation surged, Series I bonds -- which pay a fixed interest rate ...

Q Can you give me a formula to rank bonds? I'm looking for something that factors the face value with the interest rate on the bond. For instance, ...

There is an investment that is 100% backed by the U.S. government, never loses its value and is paying more than 7% interest a year. So, why haven’t most Americans heard of Series I Savings Bonds?

Because its annual coupon rate is 5%, it will also be worth more than a similar bond with a 3% coupon rate that only pays Rs 30 in interest payments per year (Rs 1,000 * .03).

To calculate the break-even interest rate, take (1 + 0.02) ^ 5 for the five-year bond and (1 + 0.03) ^ 10 for the 10-year bond. The resulting numbers are 1.10408 and 1.34392, respectively.

If a bond has a face value of $1,000 and made interest or coupon payments of $100 per year, then its coupon rate is 10% or $100 ÷ $1,000.Bonds are essentially a loan to bond issuers. They are ...