5 Reasons to Consider Buying Bonds

What are the top 5 reasons to consider buying bonds?

What are I bonds, and should you consider buying them? Find out on this episode and then kick start your journey to financial independence by eliminating credit card debt with the free 7-Step Credit Card Debt Slasher.

Are I-bonds worth the risk and should you consider them for retirement

Are you looking for an investment that offers a better return on your cash in the current high-inflationary environment? Then you might want to park your money in I bonds, EE bonds, or Treasuries to get a better yield!

Kate Dore, CFP, is a reporter on the Personal Finance team at CNBC. Before CNBC, she was a regular contributor to Lifehacker, Business Insider, and Investopedia, and her work has also appeared in Financial Planning magazine.

On this episode of Queer Money, Kate joins us to discuss the pros and cons of investing in I bonds, describing how they adjust for inflation and where they fit in a diversified portfolio. Kate explores the risk associated with including I bonds in your retirement plan and explains how people use them as a short-term investment to enhance an emergency savings fund or cover a big purchase they have coming up.

Listen in to understand the inverse relationship between interest rates and bond prices and learn how to decide whether to put your money in EE bonds, I-bonds, Treasuries, or a savings account.

Listen to get more insight on reasons to consider I-bonds for retirement

Topics covered on why to consider I-bonds for retirement

Kate’s transition from concert promoter to CFP and regular contributor to CNBC
The pros and cons of investing in I bonds and why you might consider adding them to your portfolio
How I-bonds adjust for inflation, and why they’ve achieved record yields in recent years
The fundamentals of investing in I bonds, i.e., issuer, purchase limits, tax benefits, etc.
The risk associated with including I bonds in a long-term investment plan amid concerns that the US has reached its debt limit (again)
What it means that I-bonds offer a ‘composite rate’ and how that interest rate is calculated
Why Kate suggests pre-retirees and retirees calculate their personal inflation rate
Where I-bonds fit in a diversified portfolio, and why they may or may not be a good option for your retirement plan
Why people are using I-bonds as a tier of their emergency savings or to cover a big purchase they have coming up
What factors to consider as you decide whether to put your money in I bonds, a savings account, CDs, or Treasuries
The inverse relationship between interest rates and bond prices
What differentiates EE bonds from I bonds and when investors might prefer EE bonds

Connect with Kate Dore

Resources on reasons to consider I-bonds for retirement

Consumer Price Index
Treasury Direct
‘Inflation Cools But Is Growth Next?’ on JP Morgan
YouTube Video of Egg Entrepreneur
The Psychology of Money: Timeless Lessons on Wealth, Greed, and Happiness by Morgan Housel
FPA Pride Planners
CreditWise

Connect with David and John

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We’re David and John Auten-Schneider, the Debt Free Guys (www.debtfreeguys.com) and hosts of the Queer Money® podcast. We help queer people (and allies) live fabulously not fabulously broke by helping them 1) pay off credit card debt, 2) become part- or full-time entrepreneurs and 3) save and invest for retirement.