Fixed Income Securities are investment instruments that provide returns in the form of regular, fixed payments and the eventual return of principal at maturity. They are typically issued by governments, municipalities, or corporations to raise capital. Investors in these securities receive interest payments, known as coupons, at predetermined intervals, making them a popular choice for those seeking stable income. These securities are generally considered less risky than equities, as they offer a predictable income stream. However, they are still subject to risks such as interest rate fluctuations and credit risk, which can affect their value. Understanding these factors is crucial for investors looking to diversify their portfolios.