AIG VALIC: Investment Types

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Bonds

Introduction
Bonds
When you invest in a bond, you are loaning a company, government or municipality a sum of money in return for income. In return for the loan, you get an interest rate payment and a promise to pay the loan back. And because the borrower gives you a promise to pay it back, a bond is still considered a conservative investment.

When you complete this section, you will understand:

The basics of bonds

Why people use bonds

Different types of bonds

Risks and returns associated with bonds

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www.aigvalic.com

AIG VALIC is the marketing name for the group of companies comprising VALIC Financial Advisors, Inc.; VALIC Retirement Services Company; and The Variable Annuity Life Insurance Company (VALIC); each of which is a subsidiary of American International Group, Inc.

This information is general in nature and may be subject to change. Neither VALIC nor its financial advisors or other representatives give legal or tax advice. Applicable laws and regulations are complex and subject to change. For legal or tax advice concerning your situation, consult your attorney or professional tax advisor.

Last Updated: 11/26/2003