“If a 10% drop in the stock market bothers you and you're 100% in stocks, you might want to consider adding bonds to your portfolio.” Reddit · r/Bogleheads · 1 year ago
: If inflation is 4% and your bond pays 3%, you are technically losing purchasing power every year. should i buy bonds
Professional opinions on bonds vary widely based on their overall investment philosophy: “If a 10% drop in the stock market
“TLDR: Bonds are for investors too sensitive to volatility in the near term so they exchange long term growth for the prospect of reduced volatility, near term.” Reddit · r/investing · 2 years ago Investors who bought bonds before recent rate hikes
suggests a "90/10" rule for most: 90% in low-cost S&P 500 index funds and 10% in short-term government bonds for liquidity.
: When interest rates rise, existing bond prices fall. Investors who bought bonds before recent rate hikes learned this the hard way in 2022. Expert Perspectives