Are corporate bonds a good bet?


In recent updates, I’ve looked at the role of government bonds in the MoneyWeek exchange-traded fund (ETF) portfolio. Next, I’ll move on to review our equity positions. But first, let’s talk briefly about corporate bonds.

These aren’t a core part of the strategy, because they don’t generally add much. Conventional government bonds offer a safe haven. Inflation-linked bonds promise a guaranteed real return. Both reduce risks. Corporate bonds add credit risk: they pay higher yields than government bonds, but you lose part of that if some default. 



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