11:03 PM @ 1 92% Module 5 Discussion Please review the Discussion Instructions and Expectations Then, respond to the following question: There are several examples of portfolio investments described on pages 7-1 through 7-7 of your textbook. Select one of the investments described, and discuss why you would select it as an investment. What are the pros and cons of the investment you selected? In your response, consider both the nature of the investment (for example, your appetite for risk) as well as the tax consequences. Show Less lames Sowell Start Thread U.S. Savings Bonds U.S. savings bonds such as Series EE or Series I bonds are is- sued at either face value or at a discount. These bonds do not pay periodic interest; rather interest accumulates over the term of the bonds and is paid when investors redeem them at maturity or earlier.10 That is, the amount of interest income taxpayers recognize when they redeem the bonds is the excess of the bond proceeds over the taxpayer's basis in the bonds, meaning its purchase price. Taxpayers may elect to include the increase in the bond redemption value in their income each year, but this is generally not advisable because t accelerates the income from the bond without providing any cash to pay the taxes.1 Finally, interest from Series EE and Series I bonds may be excluded from gross income to the extent the bond proceeds are used to pay qualifying educational expenses. yer's AGI However, this exclusion benefit is subject to phase-out based on the taxpa