Choosing the ultimate Hydraulic Jack port to get Engineering Deliver the results.

 Hydraulic jacks have gain popularity equipment today. Its mechanism uses water to make light work of heavy lifting. Basically this revolves around Pascal's principle wherein a sealed container has the same pressure throughout the area. If you connect two cylinders and apply force in the smaller one, it's the same with the larger cylinder. The key difference is the area where the force is exerted. In other words, increase in the area means greater force. If the area between both cylinders is huge, then it's more powerful. Hydraulic jack is said to operate based on the two systems.

A hydraulic jack has several parts including the pump, reservoir, check valve, cylinder, piston and the release valve. The hydraulic fluid is located on the reservoir and pump is used to have the water up. This will then create a stress since it pushes the liquid on the check valve. The fluid should go to the key cylinder and it'll power the piston. One of the most common jacks is within the vehicle which is used when changing tires. They are very user friendly as compared to the screw jacks. The thoery of hydraulics have made a lasting impact on living of people. hydralic torque wrench

A simple hydraulic jack has many purposes from lifting to carrying heavy objects. Quite several human tasks have become easier and can be performed without problems. With hydraulic jacks, it's now possible for anyone to accomplish the task of ten people. With assistance from hydraulics, the energy and efficiency of human is multiplied therefore making things a lot easier. Definitely this equipment is a superb development for technology. If you'll need a tool to lift a heavy object then you definitely is likely to be needing a machine called the jack.

A large amount of money, time and effort is spared with assistance from hydraulics. There are different variations with this tool and them all are extremely effective. Examples are floor jack and bottle jack. Regardless of model, most of the devices can find a way perform different functions. It is ideal to choose the right hydraulic jack. The internet is a place where you can find manufacturers offering this equipment. Carefully select the correct one that will fit your needs. It is advisable to base your choice on several factors like pricing and top features of the equipment.

Composition And Benefits Of Hydraulic Jacks For Vehicle Owners

Have you ever gone on a trip in your car and been interrupted along the way because you had a set tire? What do you do in such a situation, what equipment do you really need to fix the situation? First of all should lift the vehicle up in the air so you may change the tire, to do this Hydraulic Jacks are simply the tool for the job. These jacks differ within their properties based on the type of vehicle they are required for. They are mechanical devices which are portable and hence can be stored in the vehicle. The automobile owner must ensure that he features a hydraulic jack in his vehicle so that if you have no garage nearby, they can at least fix his vehicle himself. In this article we will learn about a number of the functions of hydraulic jacks.

It is always a good idea to keep yourself updated of all of the necessary devices that are required for your vehicle. This will ensure you that when ever your car breaks down you are able to repair it by using these tools. If you're a car owner then you could have certainly visited a garage where there are all forms of equipment that are necessary to fix the car.

These powerful jacks must certanly be chosen very cautiously because there are different ground conditions. The ground conditions and jacking points play an extremely decisive role for the selection. You is likely to be required to check if the stability of the hydraulic jack is suitable for the automobile you are driving while they can be found in various sizes and each size will lift different weights, they are designed for lifting anything from small cars to large heavy goods vehicles.

Now, we could have a quick glance on the composition. They are made up of two cylinders that are joined together via a pipe and oil. In substitute of oil any compressible liquid can also be employed in the composition. They are forced in to the cylinders. On pushing the oil in to the cylinder, the discharge valve that's located outside the jack gets opened. Due to the pressure of the liquid, it becomes possible for the jack to carry the heavy weighed vehicle in the absolute most appropriate way. There are lots of uses of the jacks and their mobility make it more straightforward to be properly used anywhere.

The advantage of the hydraulic jack is so it can be used by anybody, skilled or unskilled and it's not at all times necessary to carry the task out in a garage. There are lots of people now who prefer to fix their car by themselves because they desire the results soon and don't want the hassle of holding out for a garage to repair their vehicle. Hydraulic jacks are employed for lifting the load of the vehicles that will weigh between 1.5 to 3 tons. The hydraulic jacks must be handled with care for effective use. They can be easily employed for domestic purposes too due to their ready to make use of function. Hydraulic jacks are becoming a built-in section of an automobile owner's "must-have kit" ;.

How To Identify A Quality Hydraulic Oil

In an optimally running hydraulic system, the temperature would remain consistent through the fluid's duty cycle, the temperature of the fluid would not exceed 130 degrees, and the vented outside air would always be clean and dry. In these conditions your hydraulic oil could last forever and you'd do not have any equipment failures. In reality, none of the conditions can be achievable, or even impossible. In one duty cycle, a hydraulic oil can see changes in temperature which range from 100 degrees to 500 degrees and even higher in regions of extreme high pressure. This rapid change in temperature results in high quantities of condensation (water) in your system.

Additionally, with regards to the application, it's difficult to help keep your reservoir temperatures below 165 degrees, which is the purpose that regular mineral based hydraulic oil starts to break down and oxidation occurs leading to sludge and varnish build up. Top that off with dirty, humid outside air being drawn in through the breathers and you've dirt and water that are definitively not good lubricants for the pump. With these conditions you can begin to better realize why doing proper filtration and employing a quality hydraulic oil is the only path to reach a lengthy service life for the equipment and your hydraulic fluid.

Outside of using after treatment devices such as for instance heat exchangers to aid in controlling heat, fluid filtration systems to eliminate particles of debris, and reservoir breather filters that help absorb incoming moisture and debris, it's your hydraulic oil that's ultimately in charge of protecting your hydraulic system and keeping it running to minimize down time. With many options in hydraulic oils along with quality levels it is very important to understand what makes one product better than the other.

In regards to all lubricating oils, it starts with a base oil. Using top quality base oil in a hydraulic lubricant means it could have fewer waxes, which leads to better flow properties along with enhanced ability to shed water readily. The base oil will even have a far more stable hydrocarbon molecule structure that resists thermal break-down, a procedure that results in oxidation and ultimately varnish and sludge build-up. And it could have a much better "Stay static in Grade" capability, which basically means the hydraulic oil won't get too thin in high temperatures leading to wear at the pump. A top notch base oil will even resist thickening at cold temperatures, which leads to pump starvation and improper valve operation. Finally, the proper mix and concentration of additives provide the correct number of protection to your pump without holding water droplets in suspension. This is vital in hydraulic systems which have condensation issues and that's why we don't generally use motor oil in a hydraulic system. Because of the advanced of additives in motor oils, they'll hold water in suspension which is not a quality you need in a hydraulic system.

So how do you determine whether your hydraulic oil is a quality hydraulic fluid? Review the item data sheet. This can tell you all the normal properties of the item along with how it performed on standardized tests. Let's review BlueSky Lubricants PureBlu Hydraulic Oil as an example. To find out the grade of the bottom oil visit the Oxidation Stability Test, ASTM D-943. This test procedure, which is reported in hours of performance, measures the oils ability to resist oxidation at elevated temperatures. BlueSky's PureBlu Hydraulic Oil reports 5000+ hours. You can be assured that the product uses a top quality base oil considering most hydraulic oils can be found in between 1000 to 3000 hours. In case a product data sheet doesn't report oxidation stability, then you can almost guarantee it doesn't perform well. Another key to base oil quality is the hydraulic oils pour point, the best temperature at which the fluid stops flowing. BlueSky's PureBlu Hydraulic Oil reports -27 degrees F. This is outstanding for just one grade product. Some lesser quality products don't have the capacity to flow at 0 degrees. Not that any one of our hydraulic systems have to operate at these low temperatures, but this is just a great indicator of one's products quality. Another quality characteristic is reported in the Viscosity Index (VI). This gets back once again to an oils ability to "Stay static in Grade" since it is afflicted with temperature. BlueSky's PureBlu Hydraulic Oil reports a VI of 100. This is very good being that the larger the amount the higher the expected performance of the oil. Lesser products report Viscosity Index's in the 80's and 90's where synthetic oils have viscosity Index's starting at 120. hydralic wrench

Finally you've your additive levels which are reported as Sulfated Ash Content. In hydraulic oils, zinc weight, being zinc is your primary anti-wear additive used to safeguard your pumps. This is the area that you are limited in just how much additive you use because it'll affect the oils ability to split up from water, which is critical in most hydraulic applications. If water is a problem, consider the hydraulic oils demulsibility test, ASTM D5182. This is the time in minutes so it takes for a mixed sample of oil and water to separate. BlueSky's PureBlu reports a 10 minute pass time, which again is an outstanding performance for a hydraulic oil. Beyond taking a look at these standard performance levels, certain hydraulic oil incorporate additional enhancements to their product to aid in operation. For instance PureBlu Oil is dyed blue to greatly help quickly identify leaks along with help determine what product is leaking on a machine that's multiple lubrication systems. This is no different than knowing whether a trickle in your garage floor is from your transmission.

twenty four Gambling Tricks for your Serious Bettor.

 While many of the gambling facts you might have found in Las Vegas could be useful in online gambling it's essential that you realize there are some critical differences. But with a knowledge of the facts surrounding your chosen game, and armed with some gambling tips from experienced online players, you will see online gambling not just a fascinating and exciting adventure bit also an opportunity to turn your gambling hobby in to a profitable venture.

Critical Rules for Every Game

1. Never chase after your losses. Don't increase your bets because you're losing and need to get even; only increase your bets within a pre-determined strategy.
2. Don't gamble at any game that you don't understand. Learn it first.
3. Don't gamble and drink at the same. It's hard enough to win at gambling even without dulled senses.
Money Management - General Guidelines
4. You'll lose more frequently than you win and the longer you play the much more likely that fact is. And it's true whether you're referring to hands of blackjack, rolls of the roulette wheel or throws of the dice.
5. The important thing to winning is to maximise your wins and to minimize you losses.
6. Learn and memorize the odds at this game you have chosen to play along with the best strategies to use in an effort to maximise your winnings at that one game.
7. Never gamble with "dear" money; only gamble with "excess" money. Quite simply, never gamble with money that you will need, or may require, to pay for your everyday living expenses.
8. If you're playing against other players online this is doubly important. The moment you begin gambling with "dear" money one other player will sense your heightened stress and play accordingly - often bullying you out of a bet because they know you're more tentative together with your "dear" money.
9. Set an end loss amount and stick to it. Divide your total gambling bankroll into four separate amounts. Divide each of those amounts into four smaller amounts. If you lose among the smaller amounts, change tables or games or just take a break. If you lose your complete first allotment, stop gambling for the day.
10. Be disciplined and avoid the gambler's demise of starting your following allotment because you feel like your luck "just has to show around."
11. Plan ahead. Once you take up a gambling session determine the quantity that you want to win (be realistic) and when you reach that time put the money away and walk.
12. When you're winning, draw some money occasionally from your own gambling bankroll and put it in to a "do not touch" bankroll to guard that portion from further risk.
13. No money management system will ever overcome the house advantage within the long term. You'll always lose more frequently than you win. The important thing is that you should win more big bets and lose more small bets.

Money Management - Positive Progression Systems

14. A Positive Progression System is one in which you increase the amount of your bets when you win and decrease the levels of your bets when you lose. To utilize this technique properly you should begin a "standard" betting unit.
15. Your "standard" betting unit should be considered a comfortable percentage of the gambling bankroll that you will be working together with for a specific gambling session. As an example, if your session's bankroll is $100, you may make your "standard" betting unit $10.00. In this way you'd be able to play at least 10 betting events before running out of funds even though you lost all 10 events in a row.
16. These systems enable you to win relatively huge amounts during a warm streak while helping minimize your losses during cold streaks.
17. A common example with this strategy is to add one-half of the amounts you win to your following bet. As an example, at blackjack in the event that you win a hand together with your "standard" betting unit of $10.00 you'd add $5.00 to the bet on the following hand for a complete bet of $15.00. If you win that hand you'd add $7.50 to the $15.00 for a bet of $22.50 on the following hand. Once you eventually lose a hand, go back to your "standard" betting unit of $10.00 on the following hand and start the machine all over. Of course used these increases of 50% will undoubtedly be approximate.
18. Another harder system would be to always keep your bankroll divided into a specific quantity of units and then bet one unit on each event. As you win, your total bankroll becomes bigger so each unit will grow and you'll be betting larger amounts. As you lose, your units, and bets, become smaller.
19. Set up a system for drawing a few of the winnings from your own gambling bankroll occasionally to place it into your "do not touch" bankroll. As an example, when you double your bankroll you may take one-half of the winnings to place to the "do not touch" bankroll. If you experience an extended winning streak employing a Positive Progression System the winnings can grow dramatically.

Money Management - Negative Progression Systems

20. A Negative Progression System is one in which you increase the amount of your bets when you lose and decrease the levels of your bets when you win. Again, to utilize this technique properly you should establish your "standard" betting unit.
21. The most frequent negative progression system could be the Martingale System. Here you double the amount of your bet in the event that you lose and go back to your "standard" betting unit when you win. As an example, at blackjack in the event that you bet $10.00 and lose you'd bet $20.00 on the following hand. If you win that hand you'd then lessen your bet to the "standard" $10.00 bet for these hand. In every gambling, the Martingale system will always fail in the long run.
22. This technique can be quite frustrating because during a warm streak you're winning only your "standard" betting unit. And during cold streaks you're continually losing bigger and bigger amounts.
23. Remember, draw some money occasionally from your own gambling bankroll winnings and put it in to a "do not touch" bankroll.

Playing Roulette

24. American roulette is among the worst casino games that you can play because the house advantage under standard rules is 5.26% or higher.
25. European roulette offers a lower house advantage under standard rules of 2.7% since there are fewer slots with only one "0" in place of the "0" and "00" in American roulette.
26. All bets on in American roulette give the house a bonus of 5.26% with one exception: the "0", "00", 1, 2, 3 combination bet gives the house a much bigger 7.89% advantage.
27. All roulette betting systems depend on the inaccurate assumption that caused by previous spins can predict future results. Unless the machine is defective or fixed, each spin carries exactly the same odds as every other spin.
28. Typically the most popular betting system at roulette could be the negative progression system known as Martingale (see #17). As in other games, the Martingale utilized in roulette will always fail in the long run.
29. Due to the heavy house advantage if you are playing not just for amusement but to win money you should take a shot at the bigger payoff bets and hope you will get lucky.
30. Try a modified positive progression system at roulette. Divide the quantity you're willing to get rid of at one roulette session into 35 "standard" betting units. Select one number and bet one unit on that number (must be at least equal to the table minimum bet). Continue playing one unit on that same number until you either win or run from the 35 unit bankroll. If you win, bet two units on a single number and continue betting two units on that number until you either win or lose your bankroll. If you win again, walk away!
31. Roulette is really a relatively slow moving game compared to other online games, so it should take you a longer time to get rid of your bankroll.
32. Do not play roulette as a way to win money; the odds are overweight in favor of the house. Play roulette only as a way to own fun and pass the time without losing a fortune quickly.

Playing Baccarat

33. Baccarat is among the easiest casino games to play and offers a relatively low advantage to the house of just 1.06%.
34. There could be as many as 12 to 14 players at a dining table, with the role as dealer passed across the table much since the dice are passed around a craps table.
35. All players may bet on each hand and the bets are either on the "player", on the "dealer" or on a tie. With the exception of the tie bet, baccarat is significantly like betting heads or tails on the flip of a coin.
36. Neither banker nor player may make any decisions regarding play; the principles of the game stipulate what must certanly be done with every hand and a home "dealer" supervising the game will direct the play accordingly.
37. Winning bets on the player or the dealer both pay even money, minus a 5% commission paid either during the time of the bet or when the player leaves the table.
38. Winning bets on a tie usually pay 8 to 1, again minus a 5% commission.
39. Within an 8-deck game, the house advantage is slightly less for a "banker bet" and dramatically higher for a "tie bet", so it seems most logical to bet only on the banker.
40. As in most online gambling, card counting is meaningless as the deck(s) is usually shuffled after each turn in baccarat.

Playing Blackjack

41. Blackjack offers among the lowest house advantages at around .60%, but expert players can create situations where the player has an advantage.
42. For the serious player there are numerous complex strategies that want time and dedication to master. interwin88

43. Never just sit back cold at a table. Blackjack is commonly a casino game of streaks, so watch a dining table for a few hands to ascertain when it is a warm or cold table for the players.
44. A "soft" hand is really a hand by having an Ace which can be counted as either a 1 or an 11 in value and still keep consitently the hand's total at 21 or less.
45. A "hard" hand is really a hand by having an Ace that must definitely be counted as 1 in value in order to keep consitently the hand's total at 21 or less.
46. A beginning or social player should stick to the generally accepted rules of the fundamental blackjack strategy.
47. Never hesitate to take a card that might bust you. Always play the odds; don't let driving a car of a bust stop you from taking a card when you know it's the option with the greatest probability of success no matter how small that probability may be.
48. Read one of the numerous excellent books on counting cards if you are intent on blackjack and willing to invest lots of time practicing and perfecting your play. As in most online gambling, card counting is of little value as the deck(s) is usually shuffled after each hand. In blackjack, however, with many players at a dining table it might be good for this 1 hand

Politisi Ingin Melindungi Kami Dari Kejahatan Judi Online.

 Ini adalah bagian 3 dari serangkaian artikel multi-bagian tentang undang-undang anti-perjudian yang diusulkan. Dalam artikel ini, saya melanjutkan diskusi tentang penyebab yang diklaim membuat undang-undang ini diperlukan, dan fakta yang ada dalam kenyataan, seperti koneksi Jack Abramoff dan sifat adiktif dari perjudian online. Para legislator berusaha melindungi kita dari sesuatu, atau mereka? Semuanya tampak sedikit membingungkan untuk sedikitnya. Sebagaimana dinyatakan dalam artikel sebelumnya, DPR, dan Senat, sekali lagi mempertimbangkan masalah "Perjudian Online". RUU telah diajukan oleh Anggota Kongres Goodlatte dan Leach, dan juga oleh Senator Kyl. RUU yang diajukan oleh Rep. Goodlatte, Undang-Undang Larangan Perjudian Internet, menyatakan niat untuk memperbarui Undang-Undang Kawat untuk melarang semua jenis perjudian online, untuk menjadikannya ilegal bagi bisnis perjudian untuk hanya menerima kredit dan transfer elektronik, dan untuk memaksa ISP dan Operator Umum memblokir penggunaan situs terkait perjudian atas permintaan penegak hukum. Seperti halnya Rep. 

oodlatte, Sen. Kyl, dalam undang-undangnya, Larangan Pendanaan Perjudian Internet yang Melanggar Hukum, menyebabkan ilegal bagi bisnis perjudian untuk hanya menerima kartu tagihan, transfer elektronik, cek, dan desain pembayaran lainnya dengan tujuan menempatkan taruhan ilegal, tetapi tagihannya tidak membahas orang-orang yang memasang taruhan. RUU yang diajukan oleh Rep. Leach, Undang-Undang Penegakan Perjudian Internet Melanggar Hukum, hanyalah salinan dari RUU yang diajukan oleh Sen. Kyl. Ini berfokus pada pencegahan bisnis perjudian dari menerima kartu tagihan, transfer elektronik, cek, dan pembayaran lainnya, dan seperti tagihan Kyl tidak membuat perubahan dari apa yang terjadi menjadi legal, atau ilegal. Dalam kutipan dari Goodlatte, kami memiliki "Pengabaian total Jack Abramoff terhadap proses legislatif telah memungkinkan perjudian Internet untuk terus berkembang menjadi apa yang sekarang menjadi bisnis dua belas miliar dolar yang tidak hanya merugikan individu dan orang yang mereka cintai tetapi juga membuat ekonomi menderita dengan menghabiskan miliaran dolar. dolar dari Amerika Serikat dan berfungsi sebagai kendaraan untuk pencucian uang." Ada banyak poin menarik di sini. Untuk memulainya, kami memiliki sedikit salah arah tentang Jack Abramoff dan pengabaiannya terhadap proses legislatif. Komentar ini, dan lain-lain yang telah dibuat, mengikuti logika bahwa; 

1) Jack Abramoff menentang undang-undang ini, 2) Jack Abramoff korup, 3) untuk menghindari dikaitkan dengan korupsi, Anda harus memilih undang-undang ini. Ini benar-benar jelas tidak masuk akal. Ketika kita mengikuti logika ini secara ekstrem, kita harus kembali dan membatalkan semua RUU yang didukung Abramoff, dan memberlakukan RUU apa pun yang dia lawan, terlepas dari isi RUU tersebut. Legislasi harus disahkan, atau tidak, berdasarkan manfaat dari undang-undang yang diusulkan, bukan atas dasar kepercayaan satu individu. Juga, ketika Jack Abramoff menentang tagihan sebelumnya, dia melakukannya untuk kliennya eLottery, mencoba untuk mendapatkan penjualan tiket lotre online yang dikecualikan dari undang-undang. Ironisnya, perlindungan yang dia cari termasuk dalam undang-undang baru ini, karena lotere yang dikelola negara akan dikecualikan. Oleh karena itu Jack Abramoff mungkin akan mendukung undang-undang ini karena undang-undang itu menawarkan apa yang dia cari. Itu tidak menghentikan Goodlatte dan lainnya dari menggunakan aib Abramoff baru-baru ini sebagai sarana untuk membuat tagihan mereka terlihat lebih baik, sehingga menjadikannya bukan hanya tagihan anti-judi, tetapi entah bagaimana juga RUU anti korupsi, sementara pada saat yang sama memberi penghargaan kepada Abramoff dan kliennya. Selanjutnya, adalah pernyataannya bahwa perjudian online "menyakiti individu dan keluarga mereka" ;. 

Saya berasumsi bahwa apa yang dia maksud di sini adalah masalah perjudian. Mari kita luruskan rekornya. Hanya sebagian kecil penjudi yang menjadi penjudi bermasalah, bukan sebagian kecil rakyat, melainkan hanya sebagian kecil penjudi. Selain itu, Goodlatte akan membuat Anda membayangkan bahwa perjudian internet lebih membuat ketagihan daripada perjudian kasino. Senator Kyl melangkah lebih jauh dengan menyebut perjudian online sebagai "kokain dari perjudian", menghubungkan kutipan itu dengan beberapa peneliti yang tidak disebutkan namanya. Sebaliknya, para peneliti telah menunjukkan bahwa berjudi di Internet dapat membuat Anda melupakan kecanduan daripada berjudi di kasino. Faktanya, mesin judi elektronik, yang ada di kasino dan trek balap di seluruh negeri cenderung lebih membuat ketagihan daripada judi online gacor138 login. Dalam penelitian oleh N. Dowling, D. Smith dan T. Thomas di School of Health Sciences, RMIT University, Bundoora, Australia “Ada pandangan luas bahwa permainan elektronik adalah jenis perjudian yang paling 'membuat ketagihan', karena memberikan kontribusi lebih menyebabkan masalah perjudian daripada setiap aktivitas perjudian lainnya. Akibatnya, mesin game elektronik telah disebut sebagai 'crack-kokain' perjudian" ;.

Investing in Bonds in a Bond Fund.

 Purchasing bonds by owning a bond fund is simple in comparison to selecting individual bonds. Few average investors can analyze bonds, so the great majority investing in bonds buy a mutual fund called a bond fund, and let professional money managers make the selections for them. Hence, whenever you own a bond fund you have element of a professionally managed portfolio of bonds, often called an income fund. premium bonds to invest

Don't get confused. Purchasing bonds or an income fund has little in keeping with buying U.S. Savings Bonds. The government guarantees that you will not lose money in savings bonds. There is no market risk in these savings products. When investors talk about bonds they're not talking about savings bonds.

A connection fund might be labeled as an income fund, because the primary objective is to supply higher income vs. other investments. These funds pay dividends from the interest earned on the bonds in the fund portfolio. Along with this particular higher income, investing in bonds involves risk. Bond prices or values fluctuate because bonds are marketable securities that trade in the open market, much like stocks do.

In order to understand investing in bond funds, you first need to learn some bond basics. Let us turn our attention now to a simplified bond example, a brand new issue of a very basic corporate bond.

ABC Corporation decides to boost a sizable amount of money to expand their operations. As opposed to selling stock to the public, they decide to market bonds. Put simply, they will borrow money from investors. Each bond has a face value or initial bond price of $1000. The coupon rate will be 6%. These are good quality bonds and mature in 2039. Once all of the bonds can be bought ABC gets their money, and these bonds start to trade in the bond market.

If you buy an ABC bond for $1000, ABC promises to pay for you $60 each year, or 6%, for as long as you have it until 2039 once the bond matures. In those days the bond owner gets the $1000 back, and the bond no longer exits. Until that point the deal never changes. ABC promises to pay for the bond owner $60 each year, period.

You as a bond holder are not required to put on the bond until 2039. You can sell it at will on the bond market, or buy more bonds at selling price if you wish. But beware that bond prices fluctuate, as do stock prices. Bond prices or values can go up and they can go down. In other word, a $1000 bond is definitely not worth $1000 after it's issued. Hence,there is market risk involved when investing in bonds.

Now picture an income fund invested in a portfolio of bonds similar to ABC bonds. Because this bond fund holds a wide selection of different bonds, investors do not need to be concerned about an organization like ABC going broke and not making interest payments or not paying investors back upon maturity. The fund is broadly diversified.

The true risk you should be aware of when investing in bonds and bond funds is of an alternative nature, and this risk is known as interest rate risk. Interest rates in the economy fluctuate, but a bond's coupon rate does not. ABC bonds, for instance, pay $60 each year, period.

What goes on when long term interest rates in the economy go up? Simply this: the worth of existing bonds, in other words bond prices, go down.

Look at it this way. If interest rates double and go from 6% to 12%, new bonds will be paying investors $120 each year in interest vs. $60. What do you think investors in the bond market would be willing to fund a 6% bond under these circumstances? Since investors buy bonds for the larger interest they give, the buying price of our 6% bond will fall like a rock. The bond price will not likely fall by 50 percent, nonetheless it will be heading for the reason that direction.

Interest rates peaked in 1981-82, and have generally been falling since. Unlike our above example, falling interest rates send bond prices higher. Investors in bonds and bond funds get income from interest or dividends when interest rates fall, plus the worth of their investment increases.

But interest rates can not fall forever. Once they do head north again many folks invested in bond funds or income funds will be caught standing flat footed. Invest informed and understand this: When interest rates go up significantly, the worth of your bond investments will fall.

A retired financial planner, James Leitz has an MBA (finance) and 35 years of investing experience. For 20 years he advised individual investors, working directly with them helping them to achieve their financial goals.