NEVER INVEST IN BONDS WHEN INTEREST RATES ARE RISING

Bonds are good investments only when they are appreciating due to declining interest rates. When the prime rate is rising, any long-term bond will lose 10% of its principal value for every 1% increase in the prime rate. Stay away from financial advisors who tell you bonds(CORPORATE, ZERO COUPON, HIGH YIELD MUTUAL FUND, GOVERNMENT SECURITIES) are always a good, safe investment for those who want income.