Reading about asset allocation and diversification. Many books suggest 20% US Intermediate Term Corp Bonds and 10% International Bonds.
Does this make sense?
It appears to me that the International bond funds (at least at Vanguard) have less return than the US bond funds, even though the books say "strangely enough, the return on international bonds is almost the same as US bonds".
Also, can someone explain "Capital Return by NAV" vs "Income Return by NAV"?
If I am going to buy and hold a bond fund does the "Capital Return by NAV" matter? Don't I just care about the interest rate return?
TYIA
Does this make sense?
It appears to me that the International bond funds (at least at Vanguard) have less return than the US bond funds, even though the books say "strangely enough, the return on international bonds is almost the same as US bonds".
Also, can someone explain "Capital Return by NAV" vs "Income Return by NAV"?
If I am going to buy and hold a bond fund does the "Capital Return by NAV" matter? Don't I just care about the interest rate return?
TYIA
Statistics: Posted by rmortis10 — Sat Aug 31, 2024 8:32 am — Replies 4 — Views 203