In times of downward volatility, many investors run to bonds. Why is that? And should everyone own some bonds?

In This Episode We Look At:

• Hedging against the volatility of stocks with bonds
• Understanding the main categories of bonds and which may serve you better
• Bond duration and how that impacts the safety of your principle

Today's Resources and Links:

• Here is a helpful visual illustrating the increasing risk of longer term bonds.
• Here's a quick rundown of the pros and cons of bonds.
• The Pocket Idiot's Guide to Investing in Bonds. [Affiliate Link]

One Thing You Can Do Today to Improve Your Financial World:

• Take a look at your 401(k) or brokerage statement and identify what fund, if any, may represent bonds. The word Bond may be in the fund name, or you see "Government Fund" or "Fixed Income", which also consists of bonds. Is that portion too much or too little for your stage of life? Adjust it accordingly.

What Are Your Thoughts?

If you have a question or comment about today's topic, we invite you to share your thoughts.