Bond Funds Turbocharge Payouts | Kiplinger

The typical short-term taxable bond fund is down a hard-to-digest 4% to 6% this year through Sept. 9. Rapidly rising interest rates demanded these high costs and claimed two years or more of returns. But you know that.

So here’s a question: What’s the typical growth rate of these funds’ cash distributions since just before the Federal Reserve cut interest rates in March? The answer: 94%. Monthly payouts from the 10 largest bond funds of this type are rocketing, almost doubling already, with more increases to come.

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