Roger Nusbaum submits: A client asked me about bonds for the first quarter. This chart tells the story very well. Note that neither one accounts for yield:
The Fed raised rates twice, the yield on the ten year treasury (as measured by TNX) moved from 4.39% to 4.85% and the yield on the 30 year (as measured by (TYX) moved from 4.55% to 4.89%.
The Vanguard fund charted here, VBLTX, is a good generic proxy for the bond market. More likely than not, any bond exposure weighed down returns for the quarter.
This is neither bad nor good, but just is. There have been other time periods in recent years where bonds wildly outperformed stocks. Asset allocation means taking the good and the bad that comes with things like stocks, bonds, REITs, commodities, fine art and baseball cards.