Fixed income allocations play an important role in portfolios, especially during economic slowdowns. Portfolios often rely on the relatively low volatility bonds can provide during periods of equity swings. Common strategies many advisors use with this asset class, though, may not deliver the results they expect.
Shortening duration won’t help:
The Fed is already done hiking rates for now.
Downside resistance and discipline
The Bond Fund of America® (Class F-3, net of fees) (BFFAX)
Figures shown are past results for Class F-3 shares and are not predictive of results in future periods. Current and future results may be lower or higher than those shown. Share prices and returns will vary, so investors may lose money. Investing for short periods makes losses more likely. For current information and month-end results, visit americanfunds.com.
Fixed income summary
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