There are options. Short term bond fund for spending in 5 years. Ultra short bond fund for spending in 2 years. MM for spending this year.The point is that if you are seeking safety for a portion of your assets, Total Bond is the wrong place to be. Highlighting the risk of a stock market drop but not highlighting the risk of the bond market is being biased; it is implicitly endorsing bond funds as "safe". Bond funds are NOT safe.10% drop in Total Bond is no big deal. If Total Bond drops 50%, we’ll be in uncharted territory.
Generally, but not always, more safety equals lower returns.
Statistics: Posted by rkhusky — Sat Mar 23, 2024 1:03 pm — Replies 53 — Views 2367