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URL:  http://boards.fool.com/i-personally-cant-bring-myself-to-invest-in-bond-30660209.aspx

Subject:  Re: thinking of the 3 ETF or fund portfolio Date:  4/30/2013  12:11 PM
Author:  akck Number:  72138 of 75828

I personally can't bring myself to invest in bond funds at this time. When rates go up in a couple of years, most bond funds will be hard hit and drop in value. The only caveat to this is I've been going on this for the past 3 years, except the time frame was only a year out instead of the 2-3 years now. In it's place, I've gone to dividend index funds, providing 2-4%. The theory is they are made up of big companies that won't lose much value in a market downturn. You will have to hold a higher level of cash to meet your short term needs which reduces your overall return.
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