Bond bubble/bond cliff: How should you respond?

Many investors have been waiting for the "bond bubble" to burst for more than two years, but what about the "bond cliff"? While the Federal Reserve has pledged to keep interest rates at record lows for the next few years, that could change quickly if persistently large federal debts trigger high inflation and a subsequent crash in bond prices. Vanguard chief investment officer Tim Buckley explains why bonds can still hold an important place in a diversified portfolio based on an investor's goals, time frame, and risk tolerance.