Over the past 52-weeks, you’ve received over five percent on any combination of short to mid-term agency, corporate, and/or treasury bonds, and that’s not counting today’s expected bond rally. Remember, bonds tend to go up when stocks go down.
As the coronavirus creates panic for stock investors (futures are way down as I write to you), bonds along with safe-haven gold are rallying. What the coronavirus will mean for stock investors this year is unknown. But what’s clearly known is many stock investors head for the exits when panicked.
Your key takeaway is to make sure you have your bond and gold component dialed in well before something like a coronavirus hits the markets. Your portfolio’s immune system, if you will, may be better able to handle the gut-wrenching volatility. I’m not saying it’s going to be easy, though.
Read my entire series, Coronavirus Infects Stock Market here.
Originally posted on Your Survival Guy.
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