We found the following article an interesting read on where to find higher yields – the only problem is they didn’t consider Wilshire trust deeds!
Bonds: Where to find higher yields
By Carla Fried @Money January 22, 2014
What’s happening in bonds? A second year of rates grinding higher signals a key turning point.
“The days of earning 7% total returns as yields fall are over,” says Bob Persons, co-manager of the MFS Bond Fund. “We’re now looking at an environment where you should expect 2% to 4%.”
That’s not a call to bail out of bonds. “Remember, the reason you own bonds is to control the overall risk of your portfolio,” advises Wayne Schmidt, chief investment officer at Gradient Investments.
Treasuries, the ultimate safe haven, are also the most sensitive to rising rates. Long-term ones took a serious hit during the four-month rate spike in 2013. And a total bond index mutual fund or an exchange-traded fund, which tends to act like an intermediate-term fund, is bulked up on Treasuries today.
The Barclays U.S. Aggregate index (LAG), the benchmark for most diversified bond funds, has more than one-third in Treasuries, compared with 20% a decade ago.
So to temper your rate risk and earn more than the 2% your core bond fund is paying, peel off a small portion — say 20% or so — and redirect it to other pockets of the bond world, starting with the ideas below.
Full article here….http://money.cnn.com/2014/01/22/investing/bond-yields.moneymag/index.html