Which Bonds Should You Buy? Not All Bonds Are Created Equal(Bond Selection Guide)
リアクション
2026年05月28日
All bonds are not created equal. Sophisticated bond investors choose based on specific goals.
U.S. Treasury bonds have zero default risk, interest exempt from state and local taxes. T-bills are one year or less, great for parking cash. T-notes are 2-10 years. T-bonds are 20-30 years with higher yields but more interest rate risk.
TIPS adjust with inflation - when inflation rises, so does your principal and interest. Use them as 10-20% of bond allocation as inflation hedge. I-bonds you buy directly from Treasury, $25 minimum, $10,000 maximum per person per year. Great for conservative savers when inflation is high. Interest is tax deferred, may be tax-free if used for education.
#BondSelection #treasurybonds #tips
U.S. Treasury bonds have zero default risk, interest exempt from state and local taxes. T-bills are one year or less, great for parking cash. T-notes are 2-10 years. T-bonds are 20-30 years with higher yields but more interest rate risk.
TIPS adjust with inflation - when inflation rises, so does your principal and interest. Use them as 10-20% of bond allocation as inflation hedge. I-bonds you buy directly from Treasury, $25 minimum, $10,000 maximum per person per year. Great for conservative savers when inflation is high. Interest is tax deferred, may be tax-free if used for education.
#BondSelection #treasurybonds #tips
