Woods Mazzulla Investing | Why wealthy investors are cutting back their bond holdings | Woods Mazulla Property Management

Have you wondered why investing leaders like Warren Buffet are now turning to real estate?  Click the link below and read about the low returns investors have historically received on bond holdings…then compare those returns with real estate…

“Thoughtful investors avoid what behavioral finance experts call the “money illusion” — the tendency to think of money in nominal rather than inflation-adjusted or real terms. Today’s 10-year Canada bond with a yield of less than 2% is actually offering a slightly negative yield once you net out the Bank of Canada’s targeted inflation rate of 2% per annum.” (Financial Post: November 13, 2012).

Please click link below to read article in its entirety:

http://business.financialpost.com/2012/11/13/why-wealthy-investors-are-cutting-back-their-bond-holdings/

 

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