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HerMoney with Jean Chatzky

Bonds 101: What Every Investor Needs To Know

HerMoney with Jean Chatzky

Jean Chatzky Her Money

Investing, Entrepreneurship, Business

4.81.3K Ratings

🗓️ 24 February 2025

⏱️ 29 minutes

🧾️ Download transcript

Summary

Bonds: They’re often known as the “boring” part of a portfolio, but they serve a critical purpose in helping investors manage risk and generate steady returns. And we have questions: With interest rates rising and the economy in flux, is now a good time to invest in bonds? How do inflation and the Federal Reserve’s decisions impact bond yields? And should you buy individual bonds or stick to bond funds? In this episode, we’re joined by Eric Jacobson, Director of Manager Research at Morningstar, to break down everything you need to know about bonds in 2025. We’re going back to basics — and by the end of this episode, you’ll know exactly how bonds should fit into your financial plan. Looking for more financial confidence? 🚀 FinanceFixx – Our 4 or 8-week coaching program to get your finances on track! Our next 4-week session starts March 6th, use code SAVENOW for a 15% discount. 📈 InvestingFixx – A club for women ready to grow their wealth Have a question for us? Write to us (or send us a voice note!) at [email protected]. While you’re at it, join the HerMoney community! For the latest episode drops and financial news-you-can-use, subscribe to our newsletter at Hermoney.com/subscribe! Learn more about your ad choices. Visit megaphone.fm/adchoices

Transcript

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0:00.0

If you are just thinking purely in terms of how much risk you can take between now and the next 20, 30 years, what have you, I think you can probably rely on the bond portion of your portfolio a little bit better than you could when rates were so much lower because that does give them a cushion, helps them be a little more resilient.

0:20.4

The overall thinking is that

0:22.1

the less risk you want to take or you can feel comfortable taking, the less money you want

0:27.0

to have in stocks and the more you want to have in bonds. When it comes to the stock market,

0:32.1

going it alone can be overwhelming. That's why we created investing fix, the investing club for women who want to grow

0:39.7

their portfolios with confidence, clarity, and community. Together we decode the jargon,

0:45.8

simplify the strategy, and make investing approachable. No finance degree required. In our last session,

0:52.3

we analyzed earnings reports and uncovered key takeaways that

0:56.2

helped shape our portfolio strategy. Next up, we're diving into the bond market and whether now

1:02.9

is a good time to add more bonds to your portfolio. Want to invest smarter? Join us at

1:09.0

investing fix.com. That's fix with two X's and start making moves today.

1:15.6

Your first month is free.

1:19.8

Hey everyone, thanks for joining us today on Her Money.

1:22.9

I'm Gene Chatsky.

1:24.2

And this is a show that I have been wanting to do for a while. We're going to talk about

1:30.7

bonds. Don't press escape. Don't leave. Look, for forever, bonds have been a really important part of

1:39.9

your portfolio. 40% has often been the amount that people said put in bonds. And what has

1:47.7

happened in the past couple of years is that advice has started to get controversial. It started

1:55.2

to get squishy. We don't know what to do about our bonds.

2:01.8

But by the end of this half hour, I promise you will know what to do.

2:06.5

And that's because I've asked Eric Jacobson to join me for this episode on Bonds 101.

2:14.4

We're really going back to basics.

...

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