Short Term Bond Index
Hi Terry,
I moved 70% of my bond index funds (muni & intermediate) in to a money market account last week. I kept 30% in a short term bond index fund. Just read your note about not keeping any bond funds. Does it make sense to keep a small portion in a short term bond index fund? Thanks.
Terry Says
Yes, I think that’s fine. I just sent out that warning to awaken people to the inherent dangers in what most people consider their “safest” investment — bonds. Short term should do just fine –and you have plenty of liquidity in the rest of your portfolio. I wish everyone had done the same!
