Jim Scheinberg was quoted today in an article by Smart Money, an investing magazine by The Wall Street Journal, entitled “Retirement: Getting Ahead of Interest Rates.”
Depending on when rates go up, consider boosting your exposure to assets with shorter time horizons such as bonds that mature in one to two years or less, says Jim Scheinberg, a managing partner at the Culver City, Calif., investment advisory firm North Pier Fiduciary Management. That way, if interest rates do rise, you won t be stuck with bonds that no one wants. In a sense, you ll be locked in to low interest rates while everyone else is making a lot more, says Scheinberg. This strategy hinges, of course, on being able to get out in front of a rate hike, which no one really knows when will happen. Advisers often caution investors from attempting to time the market, as they re typically wrong, says Scheinberg.