Why own a bond versus stock?
- seniority, bond is senior to stock;
- stability of income, coupons are guaranteed through 2095 whereas dividends can be cut;
in market price, bonds are more stable than stocks - e.g., in two years
my T stock has dropped by 10%, while my KTBA is about the same.
I opt to own some of each. Not a matter of one or the other, I own both.