By Grayson Blazek via Iris.xyz
When one thinks about portfolio diversification, bonds, in addition to US and International equities should be evaluated.
An investor may be tempted to overlook bonds altogether given that investing in equities tends to lead to higher overall returns (see Exhibit 1 below). So why include bonds in your investment portfolio? The answer lies in reducing the volatility of your portfolio, providing for short-term cash needs and helping you sleep better at night.
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