What reward do bond holders get for the risk they take?

Question

Quizplus · Accepted Answer

Bond holders receive interest payments on the money they have lent to a company or organization. This is their reward for taking on the risk of lending money. The interest rate is typically higher than what investors would receive from a savings account or other low-risk investments, but there is always the chance that the company may default on the bond and the bond holder could lose their investment.

What Reward Do Bond Holders Get for the Risk They