This isn’t true. Wealthy people do not hold more bonds than they issue. Berkshire Hathaway for example has less than 1% of their funds invested in bonds
The mantra is that bonds are part of diverse portfolio but this for people who are investing in retirement funds.
Bonds are often held for this purpose. They are a useful for an income steam but they are not where the majority of anyone’s investments are held because they are not fast growers. Furthermore, bonds are a hedge against inflation because they grow faster when inflation is high which obliterates your entire argument.