Published on 9 Jan 2023 on ETF Trends via Yahoo Finance
Sustaining Income Requires an Optimal Risk Mitigation Strategy
This article was originally published on ETFTrends.com.
It's not enough for investors to simply rely on the highest yields to extract maximum income. With so many headwinds aside from inflation buffeting around the markets, it's necessary to get a proper risk mitigation strategy.
Investors are well aware of recession risks that could hit the economy at any time, which could put a damper on income sources such as bonds. Amid a full-blown recession, bonds are ideally a typical safe haven where investors gravitate, so higher bond demand could mean prices rising and, conversely, yields falling.