Focus on yields, says John Merrill, Tanglewood Wealth Management, because there are some "incredible bargains."
One area is in bonds, he said on CNBC. Yesterday, the average 5-year AA corporate bond yielded 7.5 percent, roughly 4.5 percentage points higher than the comparable Treasury bond, he said. "That's unprecedented," he noted. There's a similar opportunity for some municipals, Merrill suggested. (CNBC Bond Page)
He also suggested that investors look at real estate investment trusts, either through indexes or individually, like Realty Income Corp. : "It owns a portfolio of ... properties all across America."