tominboise
Recycles dryer sheets
In my IRA, I am sitting on 5 bond funds which of course are in a loss position. I am contemplating selling (locking in the loss) and buying a CD ladder. It would take about 2 years at 5% to recover the loss from selling the bond funds. This does not account for any payments from the funds over those two years.
What are the odds ( I know no one can predict the future - just asking for opinions) that bond funds will recover over the next couple of years? Interest rates "should" start to fall as the FED gets inflation under control, but will the bond funds rise back to pre pandemic levels in that time?
I am 63 and not counting on this money for another 6 - 7 years. These bond funds are about 37% of my AA in the IRA. Stock funds make up the other 63%.
What are the odds ( I know no one can predict the future - just asking for opinions) that bond funds will recover over the next couple of years? Interest rates "should" start to fall as the FED gets inflation under control, but will the bond funds rise back to pre pandemic levels in that time?
I am 63 and not counting on this money for another 6 - 7 years. These bond funds are about 37% of my AA in the IRA. Stock funds make up the other 63%.