The Plight of the Fixed Income Investor

In Malaysia interest rates have already risen by 0.25% and are expected to rise again by another 0.25% over the next 6 months.Today we look into the plight of the fixed income investor, where bond prices will come down as interest rates go up and at the same time, bond investors also suffer from very low bond yields. What should we do?

News:
- Average Household Income over RM 5,900 a month, says minister
- RM5,900 average household income? Lies, damned lies and statistics, says MP.
- Affordability and rising prices still a concern for property hunters.

Tip:
Duration measures bond breakeven in years according to changes in interest rates.