With interest rates still near record lows, mutual fund investors are looking to earn income anyway they can.

The Wall Street Journal offers five tips to finding the right investments.

1. Be prepared for a drop in prices of bonds with high credit ratings if the economy picks up, and be prepared for a drop in prices of bonds with low credit rating if the economy slumps.

Editor's Note: Economist Warns: ‘Money From Heaven a Path to Hell.’ See Evidence.

2. Diversify your investments across several stock and bond funds to lessen your risk.

3. Consider investing in strategic income bond funds that can change the type of bonds they pursue. These funds often trade with less volatility than do funds that stick to one sector of the market.

4. Look at investing in income funds with mixed asset allocations. These funds can invest in any securities — stocks, bonds, real estate investment trusts, master limited partnerships, etc.

5. Consider exchange-traded funds, which can offer diversification with low fees.

To be sure, this may be a bad time to buy any type of bond fund. At some point, interest rates are going to rise in a sustained way. And when they do, the prices of many bond funds will drop sharply.

If you are extremely wealthy, buying individual bonds can make sense. Otherwise, you may be better off with just equity income funds at this point.

Editor's Note: Economist Warns: ‘Money From Heaven a Path to Hell.’ See Evidence.