A couple of years ago, we asked the question: why would you own bonds when they (were) paying so little interest? Many others wondered the same thing, turning to the stock market to help potentially bolster their overall rate of return.
Interest rates have risen dramatically in 2022, which changes the question just a bit: is it good to own bonds during a period of rising interest rates? As rates go up, the value of your bonds goes down. Wouldn't it seem like it's better to own bonds when interest rates are falling? And what about bond funds?
It's a complicated world out there, but podcast host Johnny Dean and his guest, Rick "The Professor" Plum, CFP® provide you with some answers on this week's episode of Managing Your Financial Future!
