Reversal of Fortune for Bonds?

As fund companies continue launching conservative and fixed-income funds, the financial press continues to write headlines about the dangers of investing in bonds.

"If Bonds Hit Bear Trap, It May Be for Long Stretch" is the latest one from USA Today.

The biggest danger facing the bond market would be inflation, which has averaged 2.6% over the past 12 months, according to the paper.

One way USA Today suggests that investors might protect themselves against a downturn in the bond market would be to look for short-term, high-quality bonds.

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Money Management Executive
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