What is the performance of treasury bonds most closely correlated with?
March 17th, 2009 | by bonds |
Jay asked:
I’ve got two mutual funds that I need to cash out for a down payment on a home. Both are bond funds that invest primarily in Treasury Bonds. I’m closing on the home in late December and I’m wondering if I should cash out now or wait until late December? I heard the Fed may cut interest rates again and I’m just curious how that might impact my fund performance. Thanks in advance!
MAXWELL
I’ve got two mutual funds that I need to cash out for a down payment on a home. Both are bond funds that invest primarily in Treasury Bonds. I’m closing on the home in late December and I’m wondering if I should cash out now or wait until late December? I heard the Fed may cut interest rates again and I’m just curious how that might impact my fund performance. Thanks in advance!
MAXWELL
3 Responses to “What is the performance of treasury bonds most closely correlated with?”
By Kevin R on Mar 18, 2009 | Reply
JOHNATHON
if the fed lowers interest rates further, and I think they will, it will be positive for your funds. Unless they are highly leveraged it should not be a big difference either way, as I’m assuming they are not short term. Try to lower your transaction fees whatever you do.
By Mutual Fund Performance on Mar 19, 2009 | Reply
Nevertheless, year bonds began to shrink following the US Treasury’s refunding operations (buying back its debt), year counterpart. Mutual Fund Performance
By jeff410 on Mar 21, 2009 | Reply
RONNY
Interest rates, money supply, and deficits.