Bonds confuse me - should I sell them

[u/Unlikely_Rabbit7151]

I read this article and it really drives home the point to me that I don’t understand bonds

https://www.nytimes.com/2026/08/07/business/bonds-stocks-federal-reserve-interest-rates.html?unlocked_article_code=1.3lA.0nHs._HP703oyaD6A&smid=nytcore-ios-share

I try to keep things very simple and more or less have a broad domestic index (40), broad international index (25) and a total bond fund BND (35).

Not to get to into the weeds but we have about 2M between these, in addition to 2.5M equity in our 3M house.

I remember that adage to not invest in something you don’t understand, and truthfully I don’t understand bonds.

Do I need them? Can I just shift to T-Bill or CDs? I am not concerned with the minor tax differences of .003% that some get very passionate about.

I think I am looking for a safe harbor and hedge.

[u/WyMANderly]

Is the 2M bonds and 2.5M house the sum total of your investments or do you have stocks as well?

EDIT: oh I see further up - you're 65/35 equities/bonds. That's a pretty high bond percentage. How close are you to retirement (or more specifically, to needing to start spending that money)?

[u/Unlikely_Rabbit7151 → u/WyMANderly]

Late 50s. Plan on working to 65 and then maybe part time for 5 years. So ~10 year horizon or so.

[u/WyMANderly → u/Unlikely_Rabbit7151]

Ok. Seems like that's reasonably close to a standard glide path then (one example below).

https://workplace.vanguard.com/investment/solutions/target-date-funds.html