Long duration bonds have been best performers in bond category, when we buy and hold them for long haul

As recently as 2011, bonds had earned higher returns than stocks over the prior 30 years (long-duration Treasury bonds, 10.7% annually; U.S. stocks, 10.4%).


It seems that long duration bonds have been best performers in bonds, when we buy and hold them for long haul. In short term, they might be most volatile (due to higher sensitivity to interest rate changes). 

So, if you are uneasy with recent under performance of long term bonds (such as PIMCO 15+ Year US TIPS ETF LTPZ ), keep reminding yourself that such bonds are likely to be best bond performers, if you are willing to have patience and hold them for long haul.

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