Approved List

Bonds

Bond funds seek high current income consistent with reasonable risk and capital appreciation.  These funds can supply a steady and predictable stream of income, reduce a portfolio’s overall volatility, produce more income than money market funds and, at times, outperform stocks.

Risk for a bond fund results from a change in the direction of interest rates.  This interest rate risk is most commonly measured by duration.  Duration is a measure of price sensitivity to a change in interest rates.  Intermediate-term bond funds have average durations that are greater than three and one-half years and less than six years.  Generally, the shorter the duration, the less volatile a bond or bond fund.

PTTRX  Pimco Total Return (PDF)

Vanguard Total Bond Market Index

Templeton Global Total Return

Vanguard Intermediate-Term Investment-Grade Corporate

Print Friendly, PDF & Email