Central bank monetary policy may soon ease, but government fiscal policies that increase the federal deficit could limit the decline in Treasury yields.
Investment-grade corporate bonds remain attractive given their lower risk and relatively high yields. Long-term investors who can handle volatility might consider high-yield bonds and preferred securities, but we wouldn't suggest large positions in either.
Federal agency bonds generally carry the same high credit rating as U.S. Treasuries, yet can sometimes offer slightly higher yields. Here's what to consider.
Treasury Inflation-Protected Securities, or TIPS, can help buffer a portfolio against inflation. However, it's important to understand their unique characteristics and complex nature.
We believe high-yield munis carry additional risks, but are worth consideration by investors in higher tax brackets who are comfortable taking added risks.