When Bond Prices Fall, What Should Investors Do? (10/10/2026)

Higher bond yields can look attractive to investors seeking income, but they also come with a tradeoff: when market yields rise, the prices of existing bonds generally fall. So what does that mean if you're already holding bonds, particularly as you approach or enter retirement?

In the first hour of the show, Jeremiah runs solo to break down the relationship between bond prices and yields using a straightforward example of a $1,000 bond paying $50 annually. He explains why that same bond can trade at a premium or discount, how its effective yield changes with the purchase price, and why an investor holding an individual bond to maturity may view price fluctuations differently from someone planning to sell.

Jeremiah also examines how changing interest-rate expectations affect fixed-income investments, why higher dividend yields aren't necessarily an invitation to buy a falling stock, and what happens when investors prioritize current income without accounting for inflation. Along the way, he discusses the financial adjustments business owners face after selling their companies and replacing business income with investment income.

Ultimately, the conversation comes back to retirement planning: how much money needs to remain liquid, how much income the portfolio must produce, and how much growth is necessary to maintain purchasing power over time.

Find an advisor that's best suited for you:

https://www.therealmoneypros.com

—————————————————————

Ataraxis PEO

https://ataraxispeo.com

Tree City Advisors of Apollon:

https://www.treecityadvisors.com

Apollon Wealth Management: