Low, however, depends on the credit of the bank

Depends on the credit of the company

Depends on the investment strategy

Low, but reliable

Usually higher than a bank deposit, depends on credit rating and the time to maturity

Depends on the investment strategy

• Offers a specific return for a specific period
  
  e.g. 3-month fixed deposit offers 2.50%
  
       12-month fixed deposit offers 3.00%

• Offers reliable cashflow streams throughout the period in which interest is paid
  
• There are three major groups of issuers:
  
  Government : offers the lowest risk & lowest return on bonds with a very active secondary market.
  State Enterprises : offer a higher return but a higher risk but the secondary market might not be active for some bonds.
  Corporates : has the highest risk & return, depending on the credit of the issuer

• Managed by fund management professionals
  
• Returns not predictable
  
• Various investment choices : bank deposits, government bonds, state enterprise bonds, corporate bonds (debentures), which provides a diversified investment portfolio
  
• Requires a smaller investment amount, however, this depends on the type of funds. Usually carries a management fee

Tax on interest paid

Tax on capital gain
Tax on interest paid

No tax on capital gain