According to Fidelity, the number of 401(k) millionaires has recently reached a new record.
Not coincidently, the U.S. stock market, as measured by the S&P 500, is also at an all-time high. If you’ve participated in this prosperity, I congratulate you.
If you have seen your retirement savings blossom and are closing in on retirement, investing in bonds is an increasingly good idea. That’s because the closer you are to retirement, the more difficult it becomes to replace lost retirement assets with future savings.
The cold hard reality is: You never know when the next big stock market sell-off is going to happen. The good news is that understanding the benefits and risks of owning bonds and the role they can play in your retirement portfolio can help make your retirement savings more secure as you near retirement.
A good way to understand the risk and reward of owning bonds is to compare them to stocks. While both are financial…
