Investors May View Bonds as the Lesser of Two Evils

Investors seem to be moving away from stocks and toward bonds, reversing a historic tendency to gravitate to the “hottest” asset, according to a recent article in The Wall Street Journal. “Fund investors,” it says, “are notorious for buying whatever has recently had hot returns, often right before it goes cold.” It points out, however, that through September 29th, the iShares 20+ Year Treasury Bond ETF (which holds government debt maturing between 2036 and 2047) has had the “strongest monthly, quarterly and year-to-date influx of money in its 15-year history.” Investors are buying into bond funds, the article says, because […]