| a U.S. government bond with principal amounts up to $10,000. |
| savings bond n. A nontransferable registered bond issued by the U.S. government in denominations of $50 to $10,000. |
A bond issued by the United States government and sold in relatively small denominations, mainly to individuals.
savings bond
Do U.S. savings bonds have a place in a portfolio? Probably not, at least for most serious investors. Higher yields are available in various other government obligations that also offer marketability with no penalties if you want your money. TIP: For a beginning investor or for individuals of modest means, U.S. savings bonds are often a better investment than certificates of deposit, because taxes are not due until the bonds are redeemed.Thomas J. McAllister, CFP, McAllister Financial Planning, Carmel, IN |