Smart Bond Investing—Yield and Return
Like virtually all investment products, bonds generate returns that fluctuate from year to year. Longer-term stocks have enjoyed a performance edge, outperforming bonds by a margin of almost 2 to 1 since 1926. But there is a tradeoff: Stocks' performance edge has come with more uncertainty and bumps in the road. But bonds—even U.S. Treasury bills—can have their ups and downs, too.
For more information, see the Asset Allocation section of FINRA's Smart 401(k) Investing.
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