Bonds have risk that you should be aware of

Bonds have risk that you should be aware of

by Gregory Schaffer on Aug 31, 2018

Bonds

Changes in the economy and interest rates can have a big impact on your fixed-income portfolio. As interest rates rise, bond fund values become less and vice-versa. Also the longer the duration of the bond, the more volatile this concept is so in a rising interest rate environment, it is wise to keep your bond as low as possible to avoid losing principal. Your financial advisor can help you build a portfolio that’s right for you based on your goals and how much risk you’re comfortable with taking. Keep in mind that diversification does not assure a profit, protect against a loss, or eliminate market risk. Seek professional counsel when investing is our opinion. Give us a call today to evaluate the risk you are taking!