Is it time to get in the pool or jump out of it? I’m talking about the liquidity-filled equity market, jacked up on years of excess money floating through the system. This era could end with a period of much higher interest rates. If that does occur, one great gift to bring to that event is an exchange-traded fund (ETF) that invests primarily in floating-rate securities.
“Floaters” are bonds whose interest rates are reset regularly (e.g., quarterly) to allow bondholders to keep up with rising rates.
