As someone who invests in and recommends bonds - I recommend all kinds of income investments, not just dividend stocks - I'm excited about the prospects of rising interest rates. With rates at record lows and everyone clamoring for yield, it's been very difficult to find quality bonds paying decent yields. I've had to go through many haystacks to find the occasional needle. One of my skills as an investor is patience. I don't make trades or buy investments because I am bored, am antsy or fear missing out. When I played baseball, I waited for the right pitch. I didn't chase balls out of the strike zone. As a result, I had a high on-base percentage and scored a lot of runs. I do the same with investing. My patience has served me well. I have never taken a loss on a bond, both in my personal account and in any recommendation I've made for readers. But as rates rise, I expect more pitches down the middle of the plate. It will be easier to find bonds that pay a reasonable rate of interest. |
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