At the same time, bonds are also a safe-haven asset. Like gold, dollar and yen, they are one of the four largest safe-haven assets in the world. The hedge nature of bonds mainly comes from their rigid redemption and debt repayment. Therefore, bonds are quite safe.
The essence of bonds is actually IOUs. For example, if you buy 100 yuan of national debt, that is, the financial department owes you 100 yuan. The reason why you believe that the financial department will pay you back is because he has tax as a guarantee. You have 100 yuan in ICBC, and that deposit slip owes you 100 yuan. Because ICBC will make a lot of money to pay you back. Similarly, American bonds are very popular in the market because they are guaranteed by American government taxes, so American treasury bonds are very popular with investors. However, in a strict sense, bonds are creditor's rights and debt certificates that government financial institutions, industrial and commercial enterprises and other institutions directly borrow money from the society to raise funds, and investors issue hedging commitments to pay interest at a certain interest rate and repay the principal according to agreed conditions. The risk level of each bond is directly proportional to the return of the bond. According to the risk level, bonds are divided into national debt, local debt and corporate debt. Enterprise stations are generally credit bonds, and the risk of national debt is self-evident to be very, very small. Of course, the benefits are relatively minimal.
Therefore, to sum up, national debt is only a means of financial management or investment, suitable for those cautious investors. As for the loss you said, the probability is very small;