@mariahakinbi: Replying to @PlasticThottle 📈 SOME LESS COMMONLY TALKED ABOUT BONDs: 🌟 Corporate bonds, meaning you're lending to companies: LQD is investment grade corporate, VCIT is intermediate corporate, VCSH is short-term corporate. 🌟 Treasuries, lending to the US government: VGIT for intermediate, VGSH for short-term, TLT for long-term, SGOV for very short-term treasury bills. TIP and VTIP are inflation-protected. 🌟 Municipal bonds, lending to states and cities, and the interest is usually federal tax free: VTEB, MUB. 🌟 High yield, sometimes called junk bonds, meaning riskier companies paying more: HYG, JNK. why not just buy one company's bonds???? you can buy Apple or Microsoft bonds directly, but they usually trade in $1,000 or $2,000 minimums and the pricing is a bit unclear for regular investors. LQD holds thousands of corporate bonds at once. it’s the same logic as index funds versus single stocks. the 100% stocks debate: there's research showing a 90/10 portfolio gives up very little in long-run return compared to 100% stocks while cutting the worst year meaningfully. there's also recent research arguing the opposite, that all stocks split between US and international beats a target date fund over a lifetime. so it's a lil up in the air, and the practical takeaway is that the return difference is small either way. the real question is whether you'd stay invested through a 40% drop. 👀👀👀 how bonds actually behave in your 401k: most employer plans have a bond fund in the investment menu, often just called "bond index" or "stable value." those are two different things. stable value is closer to cash. #bonds #bondinvesting #investingforbeginners #PersonalFinance #assetallocation

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Saturday 22 August 2026 04:00:14 GMT