Boomers need to consider bond risks, fund companies say

11/21/2011 | St. Louis Post-Dispatch

As baby boomers look to bonds for stability, too often they forget that those investments also carry risk, fund companies say. Bonds are more complicated than stocks and carry significant long-term risk from higher interest rates. Price, which moves in inverse relationship to yield, can fall on older bonds if investors can find newer bonds with higher rates.

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