Bonds may not have the sex appeal of stocks. But then, they rarely inspire as much stomach churning either.

The Benefits of Bonds
There is an amazing variety of bonds available, so there's something to suit almost any investor. And as a category, bonds are included in virtually every asset allocation model out there. After all, bonds reduce volatility. Help preserve principal. Increase cash flow. And help fund future cash needs.

From Treasuries to High Yields
Bond options run from U.S. Treasuries—the safest bond available and perhaps the safest security of any type available—to high-yield ("junk") bonds, which can produce returns comparable to stocks but carry significantly more risk than many other fixed-income products. They can be taxable or nontaxable. You can buy and trade individual bonds or bonds held in mutual funds.

How Much to Bonds?
An aggressive investor might have only a 10% allocation to bonds, while a conservative investor might hold 50% or more. If you want suggestions, talk to your Financial Consultant.