Bonds provide uncorrelated returns to stocks, right?
SUMMARY
INTRODUCTION
iShares’ Core U.S. Aggregate Bond ETF (AGG) is the largest bond fund, with $140 billion in assets, and a cornerstone holding in traditional equity/bond portfolios. Yet most investors would likely struggle to say precisely what AGG holds. The consensus guess would be “U.S. investment-grade bonds” – but what does that actually mean in practice?