INVESTMENT IN BONDS FOR 2025․ A BEGINNER’S GUIDE

The year 2025 offers a wealth of new opportunities for investors. Trends in financial markets suggest that bonds continue to be one of the most stable and predictable investment tools - especially in times of market uncertainty. In this blog, we’ll explain what bonds are, why they deserve your attention in 2025, and how you can get started with bond investing to build a reliable source of income.

A bond is a financial instrument that represents a loan from the investor (the buyer) to the issuer (such as a government, bank, or corporation). When you buy a bond, you are essentially lending money to the issuer, who in turn agrees to pay you regular interest (coupon payments) and return the principal at maturity.

There are different types of bonds:

• Government bonds – issued by national governments or central banks

• Corporate bonds – issued by large or medium-sized companies

• Municipal bonds – issued by cities or local government authorities

In 2025, government bonds are especially relevant in Armenia and international markets thanks to their relatively low risk and predictable income.

📌 Stable income – Interest payments are defined in advance by contract and are less affected by sharp market swings.

📌 Lower risk – Government bonds are considered among the lowest-risk investment options. Corporate bonds carry slightly higher risk but can still be a smart choice with proper analysis.

📌 Portfolio diversification – If your portfolio consists mostly of stocks or higher-risk assets, bonds can help balance your overall risk.

📌 Foreign currency income – Some bonds are issued in USD or EUR, offering extra protection against currency fluctuations.

If you’re new to bonds, here are the first steps to consider:

1․Define your goals

Are you looking for passive income, capital preservation, or currency diversification? For predictable income, government bonds are usually a solid choice.

2․Research the market

Explore what bonds are available at the moment. In Armenia, the government regularly issues bonds in AMD and USD. You can also look at international options if you have access to foreign markets.

3․Choose a platform

You can invest through banks, brokerage firms, or investment platforms - find the one that best fits your needs.

4․Check the terms carefully

Pay attention to:

·Interest rate (coupon)

·Maturity date

·Default risks

·Currency

For example, in 2025, average annual yields on Armenian government bonds are around 9-10% in AMD and 5-6% in USD.

5․Diversify your risks

Don’t put all your funds into a single bond or issuer. A mix of different bond types can help reduce potential risks.

Bond investments in 2025 can form a reliable foundation for your portfolio. The key is to start small, analyze offers carefully, and stay informed about market trends. Remember - bonds won’t deliver the massive returns of high-risk assets, but they can provide steady, predictable, and passive income, particularly over the long term.

Open a free brokerage account with Unibank Invest and start investing. The Unibank Invest app provides access to the world’s largest stock exchanges, enabling you to purchase international investment instruments, such as stocks, bonds, and ETFs.

To open a brokerage account, fill out the online application or call +374 43 004 382.