"Dave" wrote in message
...
On Tue, 24 Jun 2008 13:12:11 -0400, "Wilbur Hubbard"
said:

You are not
"lending" when you buy (notice the word buy!) bonds or by shares of stock.
Lending is to hand over money to a client and then expect to have it be
paid
back over a period of time with interest.

So you didn't get beyond high school, Wilbur?.

Ph.D.!

A bond holder is a creditor--someone who has lent money to the issuer, or
who bought the debt from the person who originally lent the money.

Wrong. When I buy a government treasury bond for a thousand dollars it is as
good as a 1000 dollar bill as far as being secure. But, unlike the 1000
dollar bill, which depreciates along with the inflation rate, it grows in
value at a guaranteed rate of increase. For 1000 dollars I BUY a piece of
paper that inceases in value and is guaranteed to do so. It is no different
than buying an ounce of gold except gold has a downside risk while the
treasury bond does not. I am not lending, I am buying. Case closed.

Wilbur Hubbard