which statement describes a benefit of investing in bonds? a. bonds offer higher yields than most stocks. b…

which statement describes a benefit of investing in bonds? a. bonds offer higher yields than most stocks. b. bonds are a high - risk investment. c. bond rates tend to be more stable than stocks. d. bonds pay a monthly dividend.

which statement describes a benefit of investing in bonds? a. bonds offer higher yields than most stocks. b. bonds are a high - risk investment. c. bond rates tend to be more stable than stocks. d. bonds pay a monthly dividend.

Answer

Brief Explanations:

Bonds are generally considered less risky than stocks. Their rates are more stable as they represent debt - obligations with fixed interest payments. Stocks can have highly variable returns. Bonds usually do not offer higher yields than most stocks (stocks have higher return potential in the long - run to compensate for higher risk). Bonds are not high - risk investments. Also, bonds pay interest, not dividends (dividends are associated with stocks).

Answer:

C. Bond rates tend to be more stable than stocks.