And if you still can't bring yourself to step into an index fund like the SPDR S&P 500 ETF Trust (NYSEMKT: SPY), at least allocate your holdings in a way that includes all sectors, several geographies, and multiple asset categories like bonds, stocks, and real estate. Meanwhile, investors ready to hold fixed income instruments -- or bonds -- should consider TIPS, or Treasury Inflation-Protected Securities. Individual TIPS can be bought and sold like ordinary bonds, although it's easier to simply own them packaged in an ETF like the iShares TIPS Bond Fund (NYSEMKT: TIP).