It s been a miserable year for bonds. But those battered assets may be on the verge of a stunning comeback.
Many people think so.
Even older investors are being encouraged to move more of their money into the risky but rewarding stock market. Professor Moshe Milevsky and some colleagues at York University in Toronto gave support to that line of thinking recently with the results of an elaborate computer simulation. They concluded, based on millions of possible scenarios for world financial markets, that retirees vastly increase their chances of having their money outlast them by investing the bulk of it in stocks. All of that sounds like a convincing case against bonds. So it may surprise you to hear that some smart people are actually enthusiastic about bonds.