$BOND great low risk hold
Buying bonds right now seems to be one of the safest investment. With Yields close to 4% and chance for price appreciation in years to come (once Fed starts cutting rates) we're looking at potential 20% price appreciation over next 3 years + all the extra dividends.
Not bad if you're looking for low risk investment.
Remember, when fed raises rates, the yield % (or dividend) goes up but at the same time price of bond goes down. And when fed lowers rates the opposite is true. As shown on the graph.
Not bad if you're looking for low risk investment.
Remember, when fed raises rates, the yield % (or dividend) goes up but at the same time price of bond goes down. And when fed lowers rates the opposite is true. As shown on the graph.