Don’t Forget Those Bond Funds
Although there has been a clear reason to stay away from bond funds from a macro perspective, these funds have continued to offer a fair deal of value to investors. The reason is simple: the economic recovery that has been the very foundation for why investors should stay out of these investments has not happened with the immediacy and vigor that everyone expected. This means that rates have remained low and in some cases have even gone lower, pushing bond prices in the direction that nobody would have ever expected (up). Until there is a clear sign that bond princes will definitely go down, it is prudent to not ignore the importance of bond funds.
