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Suze Orman |
I read something by Suze Orman which resonated with me and I would like to share it here:
Right now, interests are still relatively low even though they’re headed up probably. We still have one of the lowest interest rate environments ever.
Everybody knows that when interest rates go up, the value of bonds go down.
If you are going to buy a bond mutual fund, you have to be very careful because if interest rates go up, the value of that bond mutual fund will go down. And, in a mutual fund, there is absolutely not maturity date.
So, what are you thinking? The worst thing you could do with your money right now is put it into a bond mutual fund.
Not too long ago, my dad came to me after visiting a local bank right here in Singapore. He showed me a few pieces of paper which a ......