Time for Advisors to Focus on Income Funds?

By Chief Investment Officer, Chuck Self on September 10, 2018

As we experience the last act of this equity bull market, advisors are looking for places to protect client funds with a potential of earning returns greater than that available from cash equivalents.

As the chart below indicates, consumer prices (in red) are growing at a faster rate than can be earned in short-term instruments (in blue). Those saving for or in retirement must earn positive real (or inflation-adjusted) returns to maintain security in volatile markets.