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URL:  http://boards.fool.com/rus-when-i-said-3-rise-i-meant-the-2-year-bond-28985233.aspx

Subject:  Re: Poll: Did your 401k recover from the 2008 de Date:  12/27/2010  5:05 PM
Author:  TwoCybers Number:  67956 of 75340

Rus when I said 3% rise, I meant the 2 year bond going from 2% to 5%. As you undoubtedly know interest rates have generally being going down since 1980. Last time I checked no one was predicting negative interest rates, but the carry trade sort gets there.

I know the returns are bad, but CDs will return your principle. Bond mutual funds that do not keep all bonds to maturity will loose principle as they sell in a rising bond rate environment.

Gordon
Atlanta
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