Bond slice

[ESRwannabe]

I think the total bond market index is fine. That is what I have my 401k in right now. In theory, I am not a fan of mortgage backed securities, because people are typically going to refinance when rates are low. However, it doesn't seem like it has caused any problems so far. If I had my choice I'd rather use an intermediate investment grade corporate bond fund.

If the yield is right I think junk bond funds can be a good buy. My roth ira is now in a junk bond fund that historically should give me a 3% real return, for now.

 

[DblDoc]

I have no interest in bogleheads, since I a, not in the market for a new religion.

Uh, I still do not see a cogent or even coherent reason why one would get up in arms about agency MBS exposure in an index fund. Anyone else want to take a crack?

The issue wasn't about the presence of the MBS in the index fund. The issue was do you want exposure to them at all if you could just be in short/int treasuries +/- TIP's. This debate was all taking place during the meltdown when short/int treasuries were the only asset class with (-) correlation. My take home was it just doesn't matter that much. Slice or dice or just hold TBMFX and get on with your life.

DD

 

[brewer12345]

The issue wasn't about the presence of the MBS in the index fund. The issue was do you want exposure to them at all if you could just be in short/int treasuries +/- TIP's. This debate was all taking place during the meltdown when short/int treasuries were the only asset class with (-) correlation. My take home was it just doesn't matter that much. Slice or dice or just hold TBMFX and get on with your life.

DD

Gotcha. Sounds like I would never have the patience to deal with the bogleheads crowd...

 

[HFWR]

Gotcha. Sounds like I would never have the patience to deal with the bogleheads crowd...

Anything worth doing is worth overdoing! Especially on the internets...

 

[DblDoc]

Gotcha. Sounds like I would never have the patience to deal with the bogleheads crowd...

No ignore poster feature over there - although the idea of implimenting one was raised recently. Given your knowledge base I don't think it has much to offer you. For us investing amateurs lots of good information and [-]hand holding[/-] help with ignoring the noise and the[-] financial experts[/-] talking heads.

DD