What is the role of Stocks and Bonds in an investment portfolio?

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For many new investors, it is challenging to understand the difference between stocks and bonds and what they are used for. Share ownership in a company is considered a stock and a debt obligation is considered a bond. This difference between stocks and bonds enables investors to make a trade-off between growth and safety in their portfolios. By including both stocks and bonds in their portfolios, investors can better ensure a level of stability during times of uncertainty and also boost their investment returns during times of positive investment conditions.

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