Bond yields may have increased sharply in late February, but fixed-income investing hasn’t gotten any easier. A large pool of the market still yields next to nothing. Low yields are a concern for investors because they can reduce long-term prospective returns, but that doesn't mean all hope is lost. Better outcomes are still possible.
Here are some of the ways in which bond investors can potentially improve their return experience.
Important Risks: Investing involves risk, including the possible loss of principal. • Fixed income security risks include credit, liquidity, call, duration, event and interest-rate risk. As interest rates rise, bond prices generally fall.