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What influence does 30-Year T-Bond Yield have on the Vanguard Total Bond Market Index Fund (VBMFX)? |
The 30-Year T-Bond Yield ($TYX on Stockcharts) has been in a downward slide since 1982. If it makes a major turn and begins a 20-year upward move, what would that do to the Vanguard Total Bond Market Index Fund (VBMFX)? I'm more interested in knowing about how the 30-Year T-Bond Yield would have an influence, not a 5-Year. If you look at the distribution of bonds in this fund, you will see most of the bonds have a maturity less than 10 years. The movement of the 5 yield treasury note would correlate better with this bond fund. ($FVX)) |
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