Quote:
Originally Posted by opinionist
I don't understand why people like bonds.
Subtract the inflation rate from the yield, and you will get a negative number.
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its called Portfolio Construction, Optimization, and Risk Management, if you care to read up on some how money management for the long term works.
Bonds are not just about after inflation yield in a portfolio.
Here is at least a graduate level overview. . written by Aswath Damodaran, who writes and documents with data, market valuation processes. Yes, I have his first book, after my MBA and even then, he hasn't covered all topics used today for portfolio valuation.
just a web page introduction, don't assume its more than that.
An Introduction to Portfolio Management
good luck. .