Until about a year ago, the most common question I got from readers was always something like: “How will rising interest rates affect my portfolio?”
The question looks simple, but the answer was not, and in 2015, when the Fed said it would start hiking rates (the first hike came in December of that year), plenty of panicked investors sold (despite my advice at the time):
Short-Term Rate Fears …
What this chart really meant is that these short-term panickers gave patient investors a great buying opportunity, as the next chart shows:
… Set Up Longer-Term Gains
But the folks who sold right around the time of the first rate cut missed out because they feared the Fed.… Read more
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