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November 17, 2014

Bond index funds are gaining converts but it still pays to look before you leap

  • The funds come in many flavors and have their own strengths and weaknesses.
    • By STAN CHOE
    AP Business Writer

    NEW YORK — More investors are hopping on the index-fund trend, and not just with stocks.

    More money is flowing into mutual funds and exchange-traded funds that track bond indexes, lured by low expenses. It's been a relatively slow migration, but investors got a big jolt in September with the sudden departure of famed bond guru Bill Gross from PIMCO.


     
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