7 Best Bond Funds for 2016

You can win by not losing in bonds next year.

It’s hard to be bullish on bonds. The Federal Reserve is expected to raise short-term interest rates on December 16, its first hike in nine years. That can’t be good for bonds, whose prices move in the opposite direction of rates. European government bonds actually sport negative yields—that means investors have to pay the government to hold their money. The 10-year U.S. Treasury bond yields just 2.27%. On top of that, low-quality “junk bonds” have sold off sharply of late.

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Steven Goldberg
Contributing Columnist, Kiplinger.com
Steve has been writing for Kiplinger's for more than 25 years. As an associate editor and then senior associate editor, he covered mutual funds for Kiplinger's Personal Finance magazine from 1994-2006. He also authored a book, But Which Mutual Funds? In 2006 he joined with Jerry Tweddell, one of his best sources on investing, to form Tweddell Goldberg Investment Management to manage money for individual investors. Steve continues to write a regular column for Kiplinger.com and enjoys hearing investing questions from readers. You can contact Steve at 301.650.6567 or sgoldberg@kiplinger.com.