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Crystal ball won’t work on fixed-income investments

Q

Regarding your article (“Good News: ‘The Sky is Falling’“), what about taxable bonds? Though the coupons are good, they are callable at a lower rate than I paid and bought at a high premium.

C.K., California

A

James A. Klotz responds:

The inability to successfully time interest rates applies to all fixed- income markets.

If you bought your bonds for the income, we suggest you stay the course.

Jun 26, 2013

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