Steve Garth, portfolio manager and vice president of Dimensional Australia, reflects on what fixed interest is, the risks associated with it, and the various roles this asset class can play in a diversified portfolio. Garth also discusses the range of reasons investors keep part of their portfolio in fixed interest and points out that "the single best performing asset class in 2011 was fixed interest" in the September edition of Money Management, SMSF Professional.
This article contains the opinions of the author(s) and those interviewed by the author(s) but not necessarily Dimensional Fund Advisors or DFA Securities LLC, and does not represent a recommendation of any particular security, strategy or investment product. The opinions of the author(s) are subject to change without notice. Information contained herein has been obtained from sources believed to be reliable, but is not guaranteed. This article is distributed for educational purposes and should not be considered investment advice or an offer of any security for sale. Past performance is not indicative of future results and no representation is made that the stated results will be replicated.