I'm 57 years old, I have a financial adviser that recommended I put 1/2 of my investments in Bonds, so I moved 40% to Vanguard Tax -Free Municipal bonds. After the beating I took in 2008 he said this would be a safer option for now.
The other 60% is spread out in Large-cap and Small-cap mutual funds.

My returns are much lower than when I had most of them in stocks. All of the funds have <1% expense ratio. Is this the price I have to pay for safety.

Any second opinions?