NewsMV
The passive investing approach that works in equity markets does not automatically carry over to fixed income.
Investing experts say the flagship bond index carries idiosyncrasies that bond investors should understand, arguing that a reflexive "just buy the market" posture may not serve fixed-income allocators the way it serves stock market investors.
Why the flagship bond index is a different case "Just buy the market" has become standard advice for equity investors, pointing them toward broad index funds. Bonds present different conditions.
The flagship bond index, experts say, has structural quirks that set it apart from the equity benchmarks investors are accustomed to tracking.
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