Foundation Program · Module 3: Understanding Financial Markets · Lesson 14 of 20
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Lesson 14 · Module 3

What Is a Bond?

Understanding Financial Markets

Explains bonds as loans investors make to companies or governments, and how they typically behave differently than stocks.

Estimated time: 12–14 minutes Beginner

What You'll Learn

  • Define a bond as a loan from an investor to a borrower
  • Understand key bond terms: principal, interest rate, maturity
  • Compare the general risk and return profile of bonds versus stocks
  • Understand how bonds can play a different role than stocks in a diversified portfolio.

Learn With Dominar

Dominar will show how lending money can become an investment—and why bonds behave differently from stocks.
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