Bond funds to bank CDs?
I have a lot of money in a bond fund with Vanguard. I am thinking of withdrawing this money and sending it to my bank to keep it liquid.
What do you think?
Terry Says
Is it inside an IRA at Vanguard? If so, just ask them to move a sizable portion into a government securities money market fund. Please read my post on Bonds. The risk is in the quality of the bonds, their ability to paynpromised interest, and the future vale of the interest you earn (inflation), NOT in where the investment is held. That is, moving to a bank is not necessary to avoid loss.
