1. List the likely types of bonds that would be considered by an investor with a low tolerance for risk and with the objective of generating income for the next 10 years.
2. List the likely types of bonds that would be considered by an investor with medium risk tolerance and with the objectives of generating both income and growth for the next 10 years.
3. What factors should be considered when deciding between the purchase of a bond trading at a discount and one trading at a premium price?