Four Questions About Bonds
How to invest when yields on high-quality bonds disappear?
This week, I saw a note from one of the world’s largest asset managers. The company is attempting to compile answers to common queries about bond investing that it now receives, both from individual and institutional investors. This column posts and addresses that note’s major questions, on the presumption that some of these thoughts may also have crossed your mind. (They certainly had crossed mine.)
Should bonds continue to be a part of the traditional 60/40 balanced portfolio, given their low yields and presumably low future returns?