@Drew
I’m in the same boat. I’ve shifted to I-Bonds for my emergency fund and kept my retirement accounts all in equities. It’s worth considering if you want less volatility but don’t want to see red lines.
Bonds aren’t for growth—they’re for stability and income. If you want growth, equities are the way to go. If you’re holding bonds, it should be for balance.
Indra said:
Bonds aren’t for growth—they’re for stability and income. If you want growth, equities are the way to go. If you’re holding bonds, it should be for balance.
My bond funds yielded about $227 this year. I see what you mean about income vs. growth.
I’ve avoided bonds for years but started DCAing into them recently since prices are low. It’s worth considering if you think rates might stabilize or drop in the future.
Remember, bond funds aren’t the same as individual bonds. With individual bonds, you get a guaranteed payout at maturity, but funds don’t work that way.