My Fidelity adviser sold me on a "guaranteed" 3% return on a managed portfolio of high-quality bonds, to avoid the market risk of owning bond mutual's. Literally the month after I agreed to it, the covid panic hit and I lost 30% of my investment IN LESS THAN A WEEK. Yes, it came back and I was able to get out in about six months for a mere $3000 loss. But it sure as hell wasn't what I signed up for, so I'm back in cash.
Despite the government's "7%" lie, any Walmart shopper can tell you that inflation is currently running more like 30% on anything you care about, and 100% on staples like gas, meat, and cornflakes. You can't fight the FED, and this time the FED has declared all-out war ON US. A 3% CD right now is about as helpful as a pea shooter in a tank battle.
The solution isn't a brokerage account, it's for government to get out of the counterfeiting business.
Maybe we'll get a say on that next November.
|