Bonds earn interest income at fixed interest; Spot gold benefits from the price difference.
Different liquidity
There are bonds within one year, and there are also bonds with longer maturities, but most of them have longer maturities, and some have been slow to realize for decades; Spot gold can be realized at any time.
Definition of bond and spot gold A bond is a valuable security. The essence of a bond is a certificate of debt, which has legal effect. There is a creditor-debtor relationship between bond buyers or investors and issuers. Bond issuers are debtors and investors (bond buyers) are creditors. Because the interest of bonds is usually determined in advance, bonds are a kind of fixed-interest securities. In countries and regions with developed financial markets, bonds can be listed and circulated.
Spot gold (also known as international spot gold and London gold) is a spot transaction, that is, it is delivered within a few days after the transaction is completed. Spot gold is an international investment product, which is an investment and financial management project formed by gold companies establishing trading platforms and conducting online transactions with market traders in the form of leverage ratio. There is no banker in the spot gold market, and the market is standardized, self-disciplined and sound.
Trading methods of bonds and spot gold bonds The trading methods of listed bonds generally include spot bond trading, bond repurchase trading and bond futures trading. At present, the bonds traded in Shenzhen-Shanghai Stock Exchange are spot trading and repurchase trading.
spot transactions
Cash spot trading, also known as cash spot trading, is a trading method in which both buyers and sellers are satisfied with the buying and selling price of bonds and deliver them immediately after the transaction, or in a very short time.
buy-back deal
It means that when the bondholder, issuer and purchaser reach a deal, it is agreed that the issuer must buy back the bonds originally sold from the purchaser at an agreed price at an agreed time in the future, and pay interest at an agreed interest rate (price).
forward business
Bond futures trading refers to a group of transactions that are delivered and settled at the price stipulated in the futures contract at a specific time in the future after the two parties complete the transaction. At present, Shenzhen Stock Exchange and Shanghai Stock Exchange do not open bond futures trading.
Spot gold trading method Spot gold trading is a contract transaction based on the principle of capital leverage. The right to buy 100 ounces of gold at the price of one ounce according to the trading standards of the international gold deposit contract. Use the trading right of 100 ounce of gold to buy up and sell down, and earn the difference profit in the middle. And if you make up the difference, you can extract physical gold. Minimum 100 ounce.