Short duration bond strategies tend to have lower yields than long duration bond strategies, but when interest rates rise, short duration strategies will experience a smaller price drop. (blackrockblog.com)
Generally, when investors believe interest rates are going to increase, they typically shift to a lower duration strategy to potentially reduce the interest rate risk in their portfolios. (blackrockblog.com)
Short duration bond strategies have historically had lower yields than long duration bond strategies, but when interest rates rise, short duration strategies may experience a smaller price drop. (blackrockblog.com)