You are able to purchase just about any bond via a broker, just as you'd a stock. Transaction expenses may be a lot greater than they're for stocks, although.
Nevertheless, if U.S. Treasurys or Suggestions are what you are following, you are able to (and most likely ought to) purchase them straight in the Feds. By performing so, you will save your self the charge you'd spend at a bank or perhaps a broker. U.S. Treasurys are sold by the federal government at frequently scheduled auctions. For much more info, visit the TreasuryDirect Internet website.
Obtaining your bonds via mutual funds is intelligent for many little investors. The greatest purpose is diversification. Simply because bonds are sold in big units, you may only have the ability to buy 1 or perhaps a handful of bonds by yourself – but as a bond fund holder you will personal stakes in dozens, maybe hundreds, of bonds. You will require about $25,000 to $50,000 to attain sufficient diversification amongst person bonds; in the event you do not have that, then you are much better off inside a bond mutual fund.