Taxable-bond funds led open-end asset flows in February, with investors showing interest in emerging-markets bonds and bank-loan funds.
Concerns of global systemic shocks have lessened from previous levels, and corporate issuers are more likely to take on riskier bets, according to Dodge & Cox's Tom Dugan.
Muni-bond funds continue to experience high investor demand, and Morningstar's Miriam Sjoblom offers picks for core and noncore holdings.
The factors that drove bond prices higher in 2012 are much weaker in 2013, and investors should have a modest intermediate-term outlook on their fixed-income holdings, says Dodge & Cox's Tom Dugan.
Municipal bond mutual funds saw outflows for a second straight week, at $133 million, as the market absorbed a large calendar with concessions.
Morningstar's Christine Benz and other financial experts weigh in on what to do when a sound portfolio practice collides with an unattractive asset class.
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