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Investmos, any giant risk with putting money in Utilities' Mini Bonds?
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Date: May 22nd, 2019 3:23 PM Author: Razzle Well-lubricated Preventive Strike E.g. Dukh. Seems like the safest triple B Corp debt there is (http://www.autoadmit.com/thread.php?thread_id=4267022&forum_id=2#38272802) |
Date: May 22nd, 2019 3:33 PM Author: Hairraiser immigrant no. most corporate bonds are priced reasonably well. you're unlikely to do badly, but unlikely to do well, either.
i'd avoid buying individual corporate bonds. you often end up paying ludicrous mark ups that eat into the yield. just go with some kind of bond fund. |
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Date: May 22nd, 2019 4:28 PM Author: Razzle Well-lubricated Preventive Strike (http://www.autoadmit.com/thread.php?thread_id=4267022&forum_id=2#38273137) |
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Date: May 22nd, 2019 4:45 PM Author: twinkling disturbing corner Any specific recs? (http://www.autoadmit.com/thread.php?thread_id=4267022&forum_id=2#38273210) |
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Date: May 22nd, 2019 4:46 PM Author: Spectacular Hell Halford just pick a vanguard bond fund of your maturity choice (http://www.autoadmit.com/thread.php?thread_id=4267022&forum_id=2#38273211) |
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Date: May 22nd, 2019 4:48 PM Author: twinkling disturbing corner Aren't there whispers of a corporate bond bubble? (http://www.autoadmit.com/thread.php?thread_id=4267022&forum_id=2#38273229) |
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Date: May 22nd, 2019 4:52 PM Author: Razzle Well-lubricated Preventive Strike Cr, which is why I specifically asked for utilities. As long as you watch the bid ask spread somewhat, and see when the call date is, you can assure yourself you're not getting jipped too bad (http://www.autoadmit.com/thread.php?thread_id=4267022&forum_id=2#38273244) |
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Date: May 22nd, 2019 4:55 PM Author: Spectacular Hell Halford I mean, yeah it's a bubble. But if it pops we all die. The Fed will be buying corporates before 2025 if that's the case so we all don't die in a madmax hell
If you're really risk averse just buy US treasury etfs
VGSH gets you 2.3% VGIT gets you 2.3% VGLT gets you 2.8%
No sense in getting the ~10y equivalents given the yield curve is (almost) inverted. Buy short term treasuries |
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Date: May 22nd, 2019 4:56 PM Author: Razzle Well-lubricated Preventive Strike Lol at this moral hazard GC has created (http://www.autoadmit.com/thread.php?thread_id=4267022&forum_id=2#38273257) |
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Date: May 22nd, 2019 4:58 PM Author: Spectacular Hell Halford Next crisis will be a sovereign debt flash crisis taking down European (likely) or Chinese banks (less likely, but worse).
China right now is the US in 1920 - they're due for a big correction
Europe is just a sclerotic mess with a financial system full of terrible sovereign debt
All we did in 2008 was put a shit ton of private debt onto sovereign / central bank balance sheets |
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Date: May 22nd, 2019 4:59 PM Author: Razzle Well-lubricated Preventive Strike Who's your favorite financial writer/talking head? I am mentally ill so I like Michael Pento (http://www.autoadmit.com/thread.php?thread_id=4267022&forum_id=2#38273270) |
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Date: May 22nd, 2019 5:07 PM Author: Spectacular Hell Halford https://www.ft.com/izabella-kaminska
https://www.calculatedriskblog.com/ |
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Date: May 22nd, 2019 5:17 PM Author: Hairraiser immigrant until recently i bought vgsh for my clients. makes little sense to go out that far on the yield curve. now t-bills are the best deal. (http://www.autoadmit.com/thread.php?thread_id=4267022&forum_id=2#38273351) |
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Date: May 22nd, 2019 6:31 PM Author: twinkling disturbing corner Why not just do a 12 month CD? Pays 2.7 (http://www.autoadmit.com/thread.php?thread_id=4267022&forum_id=2#38273740) |
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Date: May 22nd, 2019 6:41 PM Author: Aphrodisiac really tough guy For me, taxed as income v LTCG makes a difference and also I like to maintain liquidity without penalty in case I need to withdraw the money. (http://www.autoadmit.com/thread.php?thread_id=4267022&forum_id=2#38273778) |
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Date: May 22nd, 2019 8:18 PM Author: twinkling disturbing corner CDs held over a year are taxed as income? (http://www.autoadmit.com/thread.php?thread_id=4267022&forum_id=2#38274228) |
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Date: May 22nd, 2019 8:06 PM Author: Hairraiser immigrant cds are a good option, too.
in december i put my clients in a 5 year 3.55% wells fargo cd. |
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Date: May 22nd, 2019 8:18 PM Author: twinkling disturbing corner That's pretty high (http://www.autoadmit.com/thread.php?thread_id=4267022&forum_id=2#38274232) |
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Date: May 22nd, 2019 8:28 PM Author: Hairraiser immigrant yeah it was 180.
yields were artificially high for wells fargo cds b/c their interest costs in the bond market shot up when the market was tanking. of course, since individuals get fdic insurance, it just translated to higher risk-free yields. |
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Date: May 22nd, 2019 9:17 PM Author: Spectacular Hell Halford Fed jacked up rates in December. Tanked a jittery market who thought free money was over. If you bought T-bills in December when they did that you'd have skipped the December equity drawdown and made a fair chunk of money actually
There were online banks paying 4% at one point. Marcus (GS consumer bank) was paying 3.8%. It's a sad time when fucking Goldman Sachs is buying consumer deposits. But that's DJ Sol for you. He blew out the entire trading side when he knived Harvey Weinberg in the back
When I tell friends and family they should own 20-40% bonds I point to December for the reasoning. "But bonds only yield 2/3% Drake!"
Yeah, but you don't get a 20% drawdown in your face |
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Date: May 23rd, 2019 12:42 AM Author: primrose violent sanctuary Should you really own 20-40% with a long time horizon? (http://www.autoadmit.com/thread.php?thread_id=4267022&forum_id=2#38275486) |
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Date: May 22nd, 2019 4:46 PM Author: Spectacular Hell Halford (http://www.autoadmit.com/thread.php?thread_id=4267022&forum_id=2#38273212) |
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Date: May 22nd, 2019 6:32 PM Author: Drab alpha economic theory suggests that you can determine the risk of a bond by looking at the interest rate (http://www.autoadmit.com/thread.php?thread_id=4267022&forum_id=2#38273743) |
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Date: May 29th, 2019 7:33 AM Author: Flesh stimulating site useless brakes (http://www.autoadmit.com/thread.php?thread_id=4267022&forum_id=2#38306045) |