This week Jim Dahle did a great job answering the question of which bond fund you should use in a portfolio. Perhaps my favorite thing about the article though is the introduction, in which he makes it clear that this isn’t a critically important question.
Which bond fund to use is an important question in the sense that, when constructing a portfolio, you do have to pick something(s) to use for fixed-income (unless you’re going with an all-stock allocation). But your likelihood of meeting your financial goals is extremely unlikely to be significantly affected by whether you use a Total Bond fund or, for example, an intermediate-term Treasury fund. It’s not even close to one of the most important financial planning decisions.
- What Bond Fund Should You Hold from Jim Dahle
Recommended Reading
- How to Invest When Interest Rates Are Low from Jim Dahle
- The Biggest Differences Between Now & The Housing Bubble from Ben Carlson
- State Auto-IRAs are Building Momentum from Kim Blanton
- My ‘Too Hard’ Pile Is Pretty Big from Christine Benz
- What I Learned From My ‘Faux-tirement’ from Christine Benz
- I Saved My Sister from a Social Security Scam. Listen to the Actual Call. from Michelle Singletary
Thanks for reading!