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.
After heavy flows into fixed income in 2012, investors likely won't see strong capital appreciation in bonds in 2013, says Morningstar's Mike Rawson.
Although we're unlikely to face a worst-case scenario on the debt ceiling debate, it's important for investors to understand the potential consequences.
Investors should keep their expectations in check with few asset classes looking particularly attractive and complacency in the marketplace, says Allocation Fund Manager of the Year David Giroux of T. Rowe Price Capital Appreciation.
Municipal bond mutual funds recorded a second consecutive week of strong flows, as funds that report their flows weekly saw $1.44 billion in inflows for the week of Jan. 16.
Inflows returned to the market for municipal bond mutual funds with a vengeance, at $1.55 billion for the week ended Jan. 9.
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