SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Pastimes : The Justa and Lars Honors Bob Brinker Investment Club Thread
VTI 342.05+0.3%Jan 15 4:00 PM EST

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Investor2 who wrote (8196)7/5/2014 8:36:48 AM
From: gronieel2  Read Replies (1) of 10065
 
"...I can't bring myself to buy more bonds at current rates..."

It's been about five years now of extraordinarily low interest rates and many people have been in short term bonds, or even worse cash, savings and CDs, waiting for interest rates to eventually rise. Rick Ferri says they have already lost more in opportunity costs than they would have lost from rising rates.

The Risk Of Short-Term Bond Funds


July 2, 2014 By Rick Ferri

Did you miss returns from intermediate-term bond funds because you sat in a short-term bond fund waiting for interest rates to rise? A lot of people did.

This strategy has backfired as the opportunity cost of not being in intermediate-term bonds has been more costly than whatever damage rising interest rates might have taken away.

rickferri.com
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext