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This Surprising Bond Investment Has Some Smart Benefits

Saturday - 5/18/2013, 4:35am  ET

Rates on bonds and bank CDs have plunged in recent years, leaving many investors struggling to find income. But one surprising bond investment has looked increasingly attractive for ordinary investors in the current rate environment.

In the following video, Motley Fool investment planning editor Lauren Kuczala talks with longtime Fool contributor and financial planner Dan Caplinger about this interesting bond investment. In going into detail on these bonds, Dan notes the two main types available, and points out their respective pros and cons, along with some special features that they offer. These bonds won't be appropriate for everyone, and they come with some significant limitations, but for the right investors, they're worth considering as part of your overall investment portfolio.

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