It seems the 10 year wants to rise most every day and Total Return is not hugely off its five year high. I love PTTRX and have 70% of my 401 in the fund. What are peoples thoughts on the future of this fund in today's complicated market and times? I dont have any alternative for a low risk investment thanks to the Fed's 0% policy.
I think that with the market doing so well that everyone is afraid that the Feds will start to raise the rates. I think thats why all the bond funds are taking a hard hit. I have most of my outside money in Muni funds for the tax break, but it looks like I am going to get hammered. There is just no good place to put tour money today if you don't want it in stocks.
As long as Ben(subprime is contained)Bernenke is at the head of the FED, I wouldn't look for rates to climb. He is obsessed with QE and believes that is the answer to all that ills us...after all, he is a banker.
History has shown that excessive money printing has not worked out to well for thoes that have treid it, oh that's right it will be different this time.