Invest Smartly With Hidden Potential Of Mittelstand Bonds
Risks and Considerations
While Mittelstand bonds offer substantial benefits, they are not without risks. Investors should be aware of the potential for default, as these bonds are not backed by the government. It's essential to conduct thorough due diligence, evaluating the issuing company's financial health and market position. Diversification within your portfolio can mitigate some of these risks, making it prudent to include a mix of bond types and issuers2.