10/20/2020 0 Comments Facts About Israel BondsEvery government has the role and responsibility of fueling the economy through the initiation of various projects and ensuring their completion. Although they get the funds from taxes and levies, a considerable amount comes from borrowing. Just like any other loan, government bonds attract interests that are payable after some time depending on the terms of the agreement. Since they have low risks, it goes without mentioning that they also have low rewards for the investors. Israel is not left behind and the loan is called Israel bond. With this bond, you can get cash flow through fixed interest payments as well as repayment at the maturity of the loan. Read on to discover more about Israel bonds, how they work, and who they are good for. First, let us have a look at the history of these bonds. Dating back to 1948 during the Arab-Israeli war, many people were killed in the process. Economically, Israel was depressed. Additionally, when the Jews arrived at the end of World War II, the economy sunk deeper. There had to be a way to make the economy robust again. Then the prime minister, Ben-Gurion met Jewish-American leaders in 1951 and that was the birth of Israel bonds. Since then, considering the growth in sales, it has been a key economic pillar and a good financial investment. How do Israel bonds work? Of course, they fall into different categories and denominations. Every denomination has its maturity period depending on the investment need for which they are used. One of the categories is jubilee bonds. The minimum purchase amount for this bond is $25,000. It has flexible maturities ranging from 2 to 15 years but the interest is paid twice per annum. Maccabee bonds have the same maturity periods but a higher minimum purchase amount of $5,000. Visit https://www.thejerusalemportfolio.com/ to get more enlightened on Israel bond. Then there are Sabra bonds. They have lower maturities of up to 3 years but the minimum purchase amount is equal to that of Maccabee bonds. It is also important to note that they require a subscription of $1,000. Other bonds include Mazel Tov, eMITZVAH, and Floating rate LIBOR financing bonds. Before you invest in these bonds, you should know the risks associate with them such as political temperatures and inflation. If you are looking for an investment plan that guarantees safety and stability, don’t hesitate. However, find time to do your due diligence to know what it takes to invest in either equities or bonds. Find out more details in relation to this topic here: https://en.wikipedia.org/wiki/Israel_Bonds.
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