What is a bond

BTP training

What is a bond

A bond is a debt security issued by an entity (government, company or public body) to raise funds. Here is an overview of its main characteristics:

Characteristics of Bonds

Issuer:
- Bonds can be issued by different entities, including governments (sovereign bonds), companies (corporate bonds) and public bodies.
Yield:
- Bonds offer a return in the form of coupons, paid periodically (usually semi-annually or annually). At the end of the maturity period, the issuer repays the invested capital (nominal value).
Maturity:
- Bonds have a predetermined duration, which can vary from a few months to several decades. At the end of the maturity, the issuer must repay the principal.
Classification:
- Bonds can be classified based on credit risk (e.g. investment grade vs. high yield) or based on their structure (fixed, floating rate, inflation-linked, etc.).
Secondary Market:
- Bonds can also be bought and sold on the secondary market, where their price can vary based on market conditions, interest rates and the issuer's perception of risk.

Advantages of Bonds

Income Stream: They offer a regular income stream thanks to coupons.
Diversification: They can be used to diversify an investment portfolio.
Safety: Bonds issued by strong governments are considered safe investments.

Associated Risks

Interest Rate Risk: If interest rates rise, the value of existing bonds tends to fall.
Credit Risk: There is always a risk that the issuer will not be able to meet its payment obligations (default).
Inflation Risk: Inflation can erode the purchasing power of coupons and principal repayments.

Conclusion
Bonds are an important investment tool, particularly suitable for those seeking stability and a regular flow of income.

Information on BTPs

Choose a topic from the list below and learn more about it

The profit from a BTP

BTPs, BOTs, CTZs and CCTs

Liquidity risk of BTPs

Stock Market Calendar and Trading Hours

Inflation risk of BTPs

Capital gains

Dividends

The periodicity of BTPs

Capital gains

Choosing between BTPs and STOCKS

Inflation and BTPs

The price of a BTP

The yield of a BTP

Reinvestment risk of BTPs

Selling BTPs before maturity

The coupons of BTPs

Is it worth investing in BTPs?

Buying a BTP below par

Interest rate risk in BTPs

Types of BTPs

The maturity of a BTP

Capital losses

MOT Market

Selling BTPs at maturity

Taxation on BTPs

What is a bond

Your advertisement here

BTPfacile.it is your opportunity to reach a strongly growing and highly targeted audience
More information

What is the best BTP to buy today?

Choosing the best BTP (Buono del Tesoro Poliennale) to buy depends on numerous factors, such as the maturity of the BTP, the market price, the coupons and your tolerance for risk and economic conditions. Find the best short-, medium- or long-term BTP using the online BTP investment simulator. See immediately which BTPs offer attractive returns depending on your investment needs.

BTP net yields, BTPs in real time

The net yields of BTPs are the yields that an investor can actually receive after taxation. The yields of government bonds are subject to a taxation of 12.5%; stay updated for free on BTPfacile.it on BTP prices and consult all the relevant data such as the net coupon, net yield and maturity

What are the 5% BTPs?

Enter how much to invest in BTPs in the simulator and the net yield will be calculated immediately by processing the purchase price, maturity of the security, interest on the coupons, day of purchase, amount of the investment, reduced taxation of 12.5%

What they say about us

And what do you think of BTPfacile.it? Contact us by email wn08mi25jrn0ibfifxo0tv41kt640r@e73hut55rabictx1pqgf32c0amsccthaibgl5e5mexa033ykp.oiv2efbi0db0th40yqlk2gbj4u

Ettore

I've been using BTPfacile.it for some time and can confidently say it's one of the most useful and intuitive tools for those who want to invest in Italian government bonds (BTPs) with an informed mind. The site is clear, fast, free, and displays the average annual net yield in just a few seconds, something that's often difficult to understand with official data. Thanks to BTPfacile.it's BTP investment simulator and the ability to filter by maturity, type, and yield, I can always find the right security for my needs. I regularly recommend it to friends and family, even those with little investment experience: everyone finds it simple to use and very helpful in understanding what they're really buying. Congratulations to the team: you're doing a great job!

Giuseppe

The BTP yield simulator is useful, it also provides updated information on the best BTPs to buy based on various parameters such as maturity, market price and coupons.

David

I think BTPfacile.it is a great tool for those interested in investing in BTPs. The site offers useful features such as an investment simulator, which allows you to calculate net returns in real time, helping investors make informed decisions. In addition, the platform is intuitive and easy to use, making it accessible even to those who do not have much experience in the investment field.

What is a bond

A bond is a security that gives the investor who buys it the right to receive, at the maturity date defined in the security, the reimbursement of the amount paid and a remuneration in the form of interest (called a coupon).

BTP training

What is a bond

Information on BTPs

Choose a topic from the list below and learn more about it

What is the best BTP to buy today?

BTP net yields, BTPs in real time

What are the 5% BTPs?

Support us by sharing BTPfacile.it if we have been useful to you

Do you know someone who could benefit from BTPfacile.it? Share!

What they say about us