Bonds? What About Them?

Bonds? What About Them? - U.S. bond ownership: actual vs optimal allocation given risk preference 60% 50% 40% Too Many Bonds 20% 10% Ideal Bond 0% Ownership -10% Not Enough Bonds -20% -30% Age- 20 30 40 50 60 70 80 90 5.5% 4.5% 3.6% 2.2% 1.9% 1.2% 1.2% Percentage of investors per age bracket who have an optimal bond portfolio* * To have an "optimal bond portfolio,' a user's bond holdings must be within +- 5 percentage points of the proper portfolio allocation, as determined by their risk profile and investment horizon. SigFig --- . -- -. .----