Glossary

Fixed Income Fund

DEFINITION

A fixed income fund mainly invests in bonds and other debt securities, such as government or corporate bonds. These funds usually make payments to investors on a regular schedule, often as interest or dividends, although the amount paid can vary.

ELI5

It is like a basket filled mostly with loans such as bonds. The basket aims to pay investors money regularly, even though the amount may change.

Other related terms

LIBOR

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Second-timer applicant

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Effective Interest Rate (EIR)

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Debt Consolidation

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