Choose US government savings bonds over savings if you have time to let the bond mature

Banks are safe, but so are US savings bonds. The difference is in the interest rates, as well as the accessibility of your money. If you can afford to invest a percentage of your money for a long period of time, you'll receive a higher interest rate with US government bonds over a savings account. Appropriate reasons to invest in bonds include saving for a child's college education or retirement.

I recommend: I recommend The Federal Reserve Board for additional information regarding investing in the US savings bond.

Explore the various types of bonds available to investors

Municipal bonds, government I bonds and junk bonds are just a few bond options available to investors. They are not all one and the same, however. If you are looking for safe and conservative, then governments bonds are appropriate. Be cautious of high risk options, such as Junk bonds.

I recommend: I recommend InvestinginBonds.com and Wells Fargo for a listing of different bonds, including US government savings bonds.

Include government savings bonds in your investment portfolio

You really cannot go wrong by including US government bonds in your portfolio. You can also better calculate your return because of the predictability of US government savings bonds. For retirees, this is a welcomed advantage. They can calculate what their expected earning would be on a US treasury bond.

I recommend: Check out information provided U.S. Securities and Exchange Committee to see what they have to say about asset allocation. It offers the brief explanation on stocks versus bonds.