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Originally Posted by brewer12345
It depends on your reasons for maintaining a bond position. I tend to like the indexes because you know exactly what you are getting.
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I don't know about that. Don't tell investors in Vanguard's total bond market index who got clipped 1%+ by the manager's loading up on Worldcom bonds at exactly the wrong time.
The sampling methods used in equity indexing are much different than those used in Fixed Income indexing (Brewer I know you know this already) and a lot more flexibility is left to the portfolio manager, not always with good results.
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