Midpack
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
I own big chunks of VBTLX & VFSUX (jeez, who chose that symbol?) and I understand how they will fare (short & long term) in the rising interest rate environment that's ahead of us (eventually). So like most everyone here, I am looking at diversifying my fixed income holdings with other options including the newish 'hold to maturity' bond funds like BulletShares and iShares. Then I wondered how often do Vanguard Bond Fund managers hold the bonds to maturity vs selling them off? IOW, how different are they from conventional bond funds (other than all same duration for 'hold to maturity'). I looked at the online info for VBTLX and if it's there, I haven't found it.
Anyone here know?
I've read they may be forced to sell if fund holders sell off in large numbers, but there are some safeguards there.
BTW, though the info has been posted many times here, another decent article on what to expect with bond funds http://www.schwab.com/public/schwab..._about_bond_funds_if_interest_rates_rise.html
Anyone here know?
I've read they may be forced to sell if fund holders sell off in large numbers, but there are some safeguards there.
BTW, though the info has been posted many times here, another decent article on what to expect with bond funds http://www.schwab.com/public/schwab..._about_bond_funds_if_interest_rates_rise.html