This is incorrect and harmful to people who read it. See below:
Inflation is a bond’s worst enemy. Inflation erodes the purchasing power of a bond’s future cash flows. Typically, bonds are fixed-rate investments. If inflation is increasing (or rising prices), the return on a bond is reduced in real terms, meaning adjusted for inflation.
Do not trust anyone who uses investopedia as a primary source on what or how to invest. It’s magazine level content. The equivalency here is using popular science as a reference for how to engineer a bridge.
This is incorrect and harmful to people who read it. See below:
https://www.investopedia.com/articles/bonds/09/bond-market-interest-rates.asp
Still not true. I Bonds.
Do not trust anyone who uses investopedia as a primary source on what or how to invest. It’s magazine level content. The equivalency here is using popular science as a reference for how to engineer a bridge.