Ever since Aspial Corporation Limited launched their 5.25% retail bonds (i.e. you get 5.25% returns on your money) a few days ago, I've received a number of messages from readers and friends asking if they should sign up for these bonds. Before we delve into the research, we must first understand what bonds are for and how they work. Bonds are a type of investment that offer a fixed interest rate and guaranteed capital return upon their maturity. They're a crowd favourite with many investors given their risk-free nature and interest rates that are higher than keeping your money in the bank. Furthermore, the guaranteed nature of bonds makes them a resilient investment tool regardless of the economic situation. During recessions, bonds are often the only tool that continue to maintain their interest rates. But why risk-free? Note that while not all bonds are free from risks, ......