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How to play rising bond rates for retirement income without losing your shirt in principal
Published Mon, Dec 10 2018 • 11:01 AM EST Tim Mullaney @timmullaney Key Points
Rising interest rates have led to declining values for bonds, and lower bond fund and ETF returns. If rates keep rising, bonds will continue to underperform, but retirees in need of income can't abandon bonds. The trick for income investors when rates rise is to contain principal losses on bonds and manage bond maturities to bolster total returns.