Multiple choice

Which of the following is not a feature of bonds?

  1. Bonds have face value.

  2. Return is expected in the form of dividends.

  3. Redemption value is stated in bonds.

  4. Bonds are traded in the stock market.
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

In bonds only interest is paid as a return on investment. It may be fixed or variable interest rate which is specified in the certificate.

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