Government Bonds

Description
Government of Canada bonds are issued by the federal government and are among the most secure investments available. The are backed by the full faith and credit of the government and are guaranteed as to the timely payment of principal and interest.

Objective
To provide investors with steady income over short, intermediate and long periods of time.

Suitability
Government of Canada bonds are well suited for safety-conscious, income-oriented investors.

Features

• Safety: These bonds are direct obligation bonds of the federal government and are secured by the government's ability to levy and collect taxes.
• Income: Interest is paid semi-annually.
• Liquidity: These bonds are among the most liquid investments in Canada. They may be sold on any business day at their current market value, which may be more, less or equal to the initial amount invested.
• Price Changes: While the amount of your semi-annual interest cheques always remains the same, the value of your bond can change daily. Longer-term bonds have greater price changes than shorter-term bonds.
• Tax Status: Income from these bonds is fully taxable unless held in a qualified retirement plan.

For more information, please contact your Edward Jones financial advisor*.