Are Bonds Really Safe? Understanding Credit Risk and Yield

In this episode of Intelligent Investment Today, we take a deep dive into the world of bonds and fixed income investing — and explore why Benjamin Graham believed many investors misunderstood the risks involved.While bonds are often presented as “safe” investments, the reality is far more complex. We examine the critical differences between government bonds, corporate bonds, secured debt, unsecured debt, senior debt, subordinated debt, and high-yield bonds.You’ll learn: What bonds actually are and how they work  Why not all bonds carry the same level of risk  The difference between secured and unsecured debt  How capital structure and repayment hierarchy affect investors  Why bond yields can sometimes signal hidden danger  What liens, seniority, and subordinated debt mean in practice  Why Benjamin Graham warned against reaching for yield  How intelligent investors think about downside protection and credit risk This episode is essential listening for anyone interested in value investing, fixed income markets, portfolio construction, credit analysis, and long-term risk management.Support the show