Toggle navigation
Toggle navigation
Home
DCUM Forums
Nanny Forums
Events
About DCUM
Advertising
Search
Recent Topics
Hottest Topics
FAQs and Guidelines
Privacy Policy
Your current identity is: Anonymous
Login
Preview
Subject:
Forum Index
»
Money and Finances
Reply to "Buying bonds?"
Subject:
Emoticons
More smilies
Text Color:
Default
Dark Red
Red
Orange
Brown
Yellow
Green
Olive
Cyan
Blue
Dark Blue
Violet
White
Black
Font:
Very Small
Small
Normal
Big
Giant
Close Marks
[quote=Anonymous]When people say there's a bear market on bonds, what they mean is there's a bear market on bond funds. Bonds are stable and reliable, but not terribly liquid. Bond funds, while more stable and reliable than equity funds, have an element of risk to them stemming from the very liquidity that makes them so popular. That risk makes them more profitable than other fixed income options, and thus more popular. It's no wonder bond funds have become synonymous with the asset class. People have a tendency to look at the dollar sum at bottom of their account page as though that's an amount of cash they own. They feel the bills slipping through their fingers every time the number changes. It's easy to lose focus on the fact that It's purely a nominal representation of your various shares. They neither earn nor cost you money until they are actually sold or produce a dividend or interest payment. [/quote]
Options
Disable HTML in this message
Disable BB Code in this message
Disable smilies in this message
Review message
Search
Recent Topics
Hottest Topics
