Finance Column » Your Money This Week » Bond market do’s and don’ts

Bond market do’s and don’ts

By Mark Hamrick · Bankrate.com
Wednesday, October 23, 2013
Posted 10 am ET

What should worry investors who have some of their money in bonds?  Marilyn Cohen, founder of Envision Capital Management, says we live in "extraordinary times" and by that, she means there are plenty of risks. She notes that the Federal Reserve has been keeping rates low, but that eventually "they have to stop buying so many securities and eventually let the market be the market." She says the result for investors may be "painful" when rates do begin to rise and bonds decline in price.

In the interview, Cohen says she advises clients adopt a "bunker mentality" where they "sacrifice yield in the short haul for preservation of capital."

You'll also hear a report from Bankrate's Janna Herron.  She has some advice on how to make sure you get all the credit card rewards you are owed.

Bankrate Audio

Mark

Hamrick

Washington Bureau Chief, Bankrate.com

Marilyn

Cohen

Founder, Envision Capital Management

Janna

Herron

Credit Card Analyst, Reporter, Bankrate.com

Bonds 101: Do's and don'ts for fixed-income investors

Bond investors need to keep a "bunker mentality" while waiting for interest rates bound to rise.

LISTEN TO AUDIO

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