NEW YORK ( TheStreet) -- Since the financial crisis, some financial advisers have warned repeatedly that the long rally in bonds could end soon. So far the pessimists have been wrong. During the past three years, the average intermediate-term bond fund returned 7% annually, according to Morningstar.But lately the bears have been joined by some prominent fund managers who argue that the bond markets are about to enter harder times. With the government running huge deficits, inflation will appear and drive up interest rates, the managers worry. When rates rise, bond prices tend to fall.
Getting Ready for a Bond Bear Market
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