4 ms·
In addition to what the others have already said in this thread - - the real return is lower (and can even be negative) if high inflation occurs during the per
by hnfong 4y ago
In addition to what the others have already said in this thread -
- the real return is lower (and can even be negative) if high inflation occurs during the period, and
- if you do hold onto them no matter what, your money is locked into a long term asset for below market returns
You can always tell yourself "it's fine", and perhaps it's really fine (for you, or whoever can afford to hold onto low interest bond for 10 years without doing anything with the money). I'm just saying there's a risk here. The fact that half of the banks in US are underwater due to this risk is quite on-topic too.