AboutWarren Boroson Expertise Author of "Keys to Investing in Mutual Funds" (Barrons), "Ultimate Mutual Fund Guide" (Probus), "How to Pick Stocks Like Warren Buffett" (JKLasser), and "The Reverse Mortgage Advantage" (McGraw-Hill). Former financial columnist for Gannett News Service.
Experience Author of 20 books; winner of 1996 Personal Finance award from Investment Company Institute and Washington University. Formerly on staffs of Money and Sylvia Porter's Magazine. Had a radio program (on WEVD) about mutual funds and a newsletter, FundDigest.
Question I am changing my investments of $93000 into bond funds because of the present outlook of the economy. Is there a particular type of bonds that I should be looking into? Should I vary the type of bond funds such as municipals, emerging market, long term, world, government funds, etc.?
Answer Dear Don:
Yes, diversify. But the decision about municipals depends largely on your tax bracket--although, right now, munis seem like an especially good buy.
Instead of your buying different funds, why don't you leave the decision about which bonds to buy to a portfolio manager?. A good all-bond fund is Dodge & Cox Income. A good bond fund with some exposure to conservative stocks (15-20%) is T. Rowe Price Spectrum Income.
You can get the names of other good bond funds from Morningstar.
