Bond investment refers to an investment method in which bond buyers (investors and creditors) invest capital in the form of buying bonds, charge fixed interest to bond issuers (borrowers and debtors) at maturity and recover the principal.
The main investors of bonds are insurance companies, commercial banks, investment companies or investment banks, and various fund organizations.
In addition, companies, enterprises and individuals can also put idle funds into bonds. Investors can buy bonds in a currency equivalent to the face value of bonds, charge interest at a certain interest rate, and recover the principal when the prescribed time limit comes. Bonds can be divided into three types according to the issuers: government bonds, corporate bonds and financial bonds.