FYI: Todd Rosenbluth is director of ETF and mutual fund research at CFRA.
If stocks experience their long-overdue swoon, bonds will again offer comforting ballast to a well-diversified portfolio, according to CFRA. Yet bond performance will likely be held back by the expectation the Federal Reserve will maintain its rate-tightening timetable of three additional hikes in 2018, according to Sam Stovall, CFRA's chief investment strategist.
Given those dampened return expectations, we think investors should ensure the expense ratio of any fixed-income mutual fund or ETF as part of their due diligence review—much more so than a backward look at past performance.
Regards,
Ted
http://www.etf.com/sections/blog/importance-bond-fund-expense-ratios
