Are you a risk-taker? Do you like the thrill of the unknown? If so, junk bonds, also known as high-yield bonds, may be the investment for you. Junk bonds, at one time euphemistically called "junque" bonds because of their cache, offer higher interest rates because of their lower risk ratings. Some investors feel that the higher interest makes the risk worth taking. As a savvy investor, you should be aware of the risks and rewards of high-yield bonds and how they work as individual bonds and in bond mutual funds.

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