10/12/2026
We talk a lot about shifting conditions, but this past week brought a big change that hits close to home for every wealth plan: bonds are back in the game.
With 10-year Treasury yields hovering near 5.3% and 30-year rates around 5.7%, borrowing costs are at levels we haven't seen in over two decades. Even better, after accounting for expected inflation, real yields are pushing 3%.
It’s easy to look back at the sting of 2022 and wonder why anyone would want to own bonds today. Shift your gaze forward, though, and today’s setup looks far more inviting.
When yields were near zero, a tiny rate hike wiped out a year's worth of interest. At 5%-plus starting yields, that steady coupon acts as a genuine shock absorber. If rates tick higher, the payout cushions the drop; if rates cool down, bondholders capture both the income and the upside.
Stocks don't have to carry the entire load anymore. When high-quality fixed income pulls its own weight alongside your growth assets, you don't have to guess where rates are headed next week—your plan is already working for you.
Don’t let past rate hikes distract you from today’s income potential.
At AGA, we’re here to help you stay focused on what’s ahead, ensuring today’s income opportunities actively support the bigger picture.
