Saturday School: Learn How Stocks Differ From Bonds

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Chances are good that you know a few things about stocks and bonds. You probably know that stocks are riskier — but potentially more lucrative than bonds.

You also probably know that bonds are the safer bet for investors willing to accept lower returns for greater safety.

But do you really understand the differences between these two financial instruments? Watch this video from the Khan Academy and you’ll learn what they are, and the pros and cons of each.

Which do you prefer — stocks or bonds? Let us know by commenting below or on our Facebook page.

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