Thinking About Buying Bonds? Check Out This Stock Instead
The bear market that began last year may not be over, and that has some investors concerned about adding money to stocks right now. Despite the early bounce in market indexes in 2023, many stocks remain down 20%, 30%, or more off their highs, and some fear the October 2022 market lows might yet again be tested.
Rising interest rates have thus made bonds and Treasury bills much more attractive. A six-month Treasury bill recently provided an annual yield above 5%. But if you're not just looking for safety of capital and that level of income, there are still stocks available that are worth buying today. GPS device maker Garmin (NYSE: GRMN) is one that provides a reliable dividend and has room to move higher from recent levels.
While no stock has the safety of bonds or treasuries, some carry more risks than others. But with that risk comes the potential for higher returns. For those who are simply nervous about stocks, but are investing for the long term and can handle that added risk, Garmin is an intriguing stock to buy right now.
Source Fool.com
