I’m currently in the midst of reading “ The Intelligent Investor” by Benjamin Graham.
In his book he advices about the good balance of having a 80/20 split for more speculative investors or 60/40 for more conservative investors.
I’m currently 23 now and starting to invest money for later on in life.
Personally I’m investing into index funds at the moment e.g VUSA/VFEM and VAPX so I have so decent global exposure to the world markets. (Not financial advice)
What I do want to query now are bonds and why someone would want to invest in bonds and is it worth it at my current age to do so?
What determines whether a bond will do well, is it inflation? Or when Stock Market going through a correction etc?
What is the difference with each bond? I.E a short terms bond 0-5 years or 5 years+ - how does the affect the risk/return?
I am fairly new to this so I’m happy to be given some links etc for me to continue reading up on so I can give more clarity to bonds and whether they are a good option for myself.