In this volatile economic climate, the decision to invest in stocks vs. bonds feels like a good cop/bad cop routine. Which one do you trust? At the moment, bonds and bond funds do represent a good alternative to stocks, offering income, stability and less volatility, although they do have their own market fluctuations. Bonds and bond funds, known as fixed income investments, also have their own risk ratings and rates of return.

Here is a quick look at the major fixed income categories:

Multisector bond fund: This is a mutual fund that invests in a variety of bonds in one allocation, allowing the