Quote:
Originally Posted by Gigi3000
I'm familiar with Vanguard and index funds. Good suggestion. I have about 15% of my portfolio in VTSAX. I'm pessimistic about the market. Any other recommendations in place of the S&P 500 index fund?
|
I have a small percentage invested in the High Yield Bond Fund, which is paying about 3 percent and invested in low quality corporate bonds. It has been my best income producer. But, I am afraid to put a lot of money into bonds because, if interest rates go up, the bond values will go down faster than stocks. So, if you don't want to be in stocks, you don't have many choices. I would definitely stay away from bond funds that have an average maturity of more than 10 years. Very risky if interest rates rise.