What is the difference between bonds and stocks?

What is the difference between stocks, bonds, and CD's and what can you compare with their risks as investments?

  • Answer:

    A stock is part ownership of a company. A bond is considered to be a loan, accruing interest. A CD is similar to a savings account, but is held for a certain period of time until it can be cashed. A bond is the safest in terms of risks of investment.

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A stock is part ownership of a company. A bond is considered to be a loan, accruing interest. A CD is similar to a savings account, but is held for a certain period of time until it can be cashed. A bond is the safest in terms of risks of investment.

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