BlackRock Sees a Rare Chance in High-Quality Bonds
Top bond chief Rick Rieder says safe bonds now offer strong yields you rarely find in normal times.
Rick Rieder manages billions of dollars for BlackRock. Today, he spots a moment he calls historic. Investors can now lock in solid yields without taking wild chances.
For years, safe bonds paid almost zero interest. That dry spell forced people into volatile stocks to find growth. Now, the bond market is alive again. High-grade corporate debt and government paper offer reliable income.
Prices moved because the Federal Reserve raised interest rates. That policy shift pushed bond yields up to levels not seen in decades. Rieder expects these strong payouts to last through the rest of the year.
Everyday savers can take advantage of this shift to protect their wealth. You can park cash in top-rated bonds and collect steady checks. It gives your portfolio a cushion while stock markets bounce around.
Source: CNBC
