Bonds redefined as safe returns rise in higher‑rate environment

Investment banks have long announced redefinitions of investing. In 2019, a senior banker presented a case for rethinking the 60/40 portfolio, arguing that riskier assets in the bond portion could boost returns.

Today, the U.S. Is in a higher‑interest‑rate environment, and the bond segment is again being redefined. The goal is to make saving more attractive, as the safe portfolio Now offers near‑zero interest on bank accounts, money‑market funds, and Treasuries.

The article, written by Manhattan Institute senior fellow Allison Schrager, continues on Bloomberg and highlights the importance of savers taking on risk for better returns.

Read the full story at manhattan.institute.