Bond ETFs Can Help Diversify Against Risk-Off Events
In times like these, investors can limit portfolio drawdowns by diversifying with fixed income exchange traded funds. While the equity markets pulled back, investors turned to safe havens, purchasing bonds and pulling yields on Treasuries down. Economic reports have reflected an economy that is recovering from the coronavirus pandemic, but traders have been betting on even more aggressive growth. However, Michael Gayed, a portfolio manager and author of the Lead-Lag Report newsletter, warned that the dynamic is starting to unravel, the Wall Street Journal reports. “The market is going to st...