https://www.schwab.com/resource-center/insights/content/barbells-and-bond-ladders-how-to-invest-when-yield-curve-is-flatBarbells and Bond Ladders: How to Invest When the Yield Curve is Flat
Fixed Income
Bonds
Collin Martin
By Collin Martin
May 01, 2019
Key Points
Although the yields offered on longer-term bonds are only modestly higher than those with short maturities, investors should still consider extending the average maturities of their bond holdings.
A bond barbell is a tactical strategy that focuses on bonds with two different types of maturities—some short-term bonds and some longer-term bonds.
A bond ladder is a type of “all-weather” strategy that is meant to help provide predictable income with the flexibility to reinvest bonds as they mature.
