Fixed income refers to a type of investment that provides returns in the form of regular, fixed payments. Common examples include bonds, treasury bills, and certificates of deposit. Investors typically receive interest payments at set intervals, and the principal amount is returned at maturity. This makes fixed income a popular choice for those seeking stable income and lower risk compared to equities. These investments are often used by individuals and institutions to diversify their portfolios and manage risk. Fixed income securities can be influenced by factors such as interest rates, inflation, and the creditworthiness of the issuer. Understanding these elements is crucial for making informed investment decisions.