Home>Dow hits 14,000 and#8212; so where's the great rotation?
Dow hits 14,000 and#8212; so where's the great rotation?
InvestmentNews.com
Fri, 1 Feb 2013
Suddenly, stock fund inflows are up. Bond fund inflows are up as well -- this, despite predictions of an imminent route in the debt markets. IN's Jason Kephart offers the low-down on the upswing.
Morningstar's Eric Jacobson outlines three short-term bondfunds that can protect against rate sensitivity, but mind the risks as such funds aren't cash substitutes.
Bonds are a better option than cash and less volatile than stocks, but investors should be mindful of headwinds and possibly rethink their fixed-income allocations, says Morningstar's Christine Benz.
Morningstar's Christine Benz demonstrates how our Tax-Equivalent Yield Calculator can help you determine whether you're better off investing in taxable or municipal bonds after adjusting for munis' tax-exempt status.
As economic concerns weighed, taxable- bondfunds were the strongest asset gainers in May, but their inflows were only about half what they were the prior month, says Morningstar's Kevin McDevitt.