In a down stock market, bond funds are sold and stock funds are purchased.
Over the past year, more money was poured into bond funds than equity funds.
Most important, at least so far, bond funds have generally offered better risk-adjusted performance .
Previously, Mr. Gundlach managed bond funds at Los Angeles money manager TCW Group Inc.
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It means that like stock funds, bond funds also have some risk associated with them.
On the other hand, housing didn't produce returns as high as high-grade bond funds or gold.
Emerging-market bond funds saw 2 consecutive weeks of outflows for the first time since April 2009.
Investors will remain cautious and we could see continued outflow out of muni bond funds.
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Rosenbluth outlines three risks that invesotrs should be mindful of when evaluation bond funds.
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Junk bond funds are yielding north of 7% and trading at a discount to boot.
With interest rates low, money has flooded into all types of bonds and bond funds.
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Bonds and bond funds accounted for 19% of individual investor portfolios last month, an 11-month low.
You have probably heard many arguments that have been recently marshalled against owning bond funds.
The fund ranked among the bottom 13% of comparable bond funds for the year.
The other 30% ends up in a few aggregate bond funds stuffed with U.S. government debt.
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But investors can buy a diversified portfolio of bond funds with a few thousand dollars.
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For example, American mutual-fund investors are switching from international equities into domestic bond funds.
Some junk-bond funds may be worth a lot less than they seem to be.
Bond funds also had a tough year with about a five percent closing or merging rate overall.
Guggenheim Investments filled that gap with its BulletShares ETFs, a menu of investment-grade and high-yield corporate-bond funds.
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As investors chase yields, brokers are pushing them into municipal bonds and bond funds in record numbers.
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Bonds and bond funds comprised 21.6% of individual investor portfolios, a 3.8 percentage point decline from May.
Mutual fund sales of bond funds actually peaked almost a year ago, although sales do remain high.
The percentage of portfolio dollars held in bonds and bond funds rose 5.1 percentage points from April.
Monthly dividend paying stocks can be an appropriate complement to other monthly-paying securities like closed-end bond funds.
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Bond funds, once a problem for Fidelity given its affection for risk, are now consistently good performers.
Look around for bonds or bond funds that you can sell and replace with bonds of shorter maturity.
My bond recommendations in 2012 ranged from high-yield to pipelines, refineries, autos and bond funds, all short duration.
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But meanwhile, investors should continue to feast on preferreds, adjustables and keep their eyes on junk bond funds.
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