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What is the national debt? What's the difference with stocks?
The difference between stock and national debt:

1, different financing nature?

The issuer of bonds can be the government, financial institutions or enterprises (companies);

The issuer of a stock can only be a company limited by shares.

2. Is the duration different?

As an investment, bonds are time-sensitive. Judging from the elements of a bond, it is a valuable security with a term, which will be repaid after a certain period.

Stocks are negotiable securities with no maturity, and enterprises do not need to repay them. Investors can only transfer shares and cannot return them.

3. Different sources of income?

The income that bond investors get from the issuer is interest income, and the bond interest is fixed, which belongs to the cost of the company and is included in the financial cost of the company's operation. Investors may also get capital gains when buying and selling bonds.

As shareholders of the company, stock investors have the right to participate in the distribution of the company's profits and get dividends and bonuses, which are part of the company's profits. Investors may also gain capital gains when buying and selling stocks in the stock market.

4. Value regression is different.

The value regression of bond investment means that the value of bonds is often relatively fixed at maturity and will not fluctuate with the changes of the market.

The investment value of a stock depends on the market's expectation or judgment on the prospect of the relevant joint-stock company, and its price depends largely on the growth of the company, not its dividend distribution.

5. Different risks

Treasury bonds, financial bonds and even corporate bonds with relatively low investment risk are much less risky than stock investment.

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