Recent estimates are that a record $12.5 trillion of global debt carry negative yields. For bond markets in countries such as Germany, Japan and Switzerland, yields now are negative for all maturities as far out as 10 years. Investment in a bond with a negative yield seems nonsensical. “Invest your money now and be assured of getting less back later.” Some of the current environment reflects central banks setting short-term policy rates near zero to stimulate economic activity. Nevertheless, negative bond yields result from the confluence of investors willing to make transactions at such levels. Bond investing principles and the role of price inflation can provide perspective and investment implications.