Bonds generally deliver competitive returns in a tighter and less volatile range than stocks. The value of bonds will fluctuate with changes to interest rates. Basically, when you purchase a bond, you're lending money to a corporation or government to help fund projects. In return, most bonds make regular interest payments on the money you loaned.

There are many different types of bonds available, including:

• Municipal Bonds - an investment that can provide an income free of federal and, in many cases, state and local income taxes.
• US Government Bonds - investments such as treasury bonds, bills and notes that offer the lowest risk of any fixed-income investment.
• Corporate bonds - long-term debts of major US and worldwide corporations.
• And more