Bonds

Is Now the Time to Move to Bonds?

Is Now the Time to Move to Bonds?

Realizing you are wrong about a basic belief is tough. The last two weeks we discussed “The Bond Fund Risks Your Broker Won’t Tell You” and“Closed-End Bond Funds, Friend or Foe?” We concluded holding top-rated bonds is OK – individually, not in a publicly traded fund. Fund managers, chasing high returns, take risks I’m not comfortable with. […]

How to Easily Increase The Yield On This Boring Trade

How to Easily Increase The Yield On This Boring Trade

Almost every type of investment vehicle seems to be more exciting than bonds. The one exception may be annuities, which I can’t even discuss because I’ll pass out from boredom before I finish the article. But back to bonds, they generally aren’t very exciting to invest in, especially government bonds. Nevertheless, bonds are an extremely […]

"We only make good loans to bad people."

Will You Get Stuck With Everyone Else’s Bad Loans?

The Federal Reserve is raising interest rates. Higher rates = higher monthly payments = more defaults. Who will get stuck with bad loans? Wolf Street recently interviewed Mike Jackson, CEO of AutoNation, the largest auto retailer in the country: “We knew ‘free money would inevitably end. Affordability would become an issue…’ The double whammy are rising costs […]

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An Interesting Trade for Easy Money From Emerging Market Bonds

Investing, particularly long-term investing, has changed quite a bit since the early days of portfolio theory. It used to be investors split their holdings between stocks and bonds, with the stocks diversified by industry or sector. Bonds tended to be confined to medium or long-term Treasuries. These days, ETFs have changed the way investors are […]

Avoid These 3 Bond Funds When Interest Rates Rise

Avoid These 3 Bond Funds When Interest Rates Rise

Are bond funds a safe haven if the stock market crashes? With interest rates about to rise, is it a good time to invest in a bond fund? These are questions investors may be asking themselves as the stock market may be peaking and the Fed keeps jacking up interest rates. If you are fearful […]

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How To Generate Safe Income From High Yield Bonds

High yield bonds, often known as junk bonds, have been very popular investments since the financial crisis of 2008. The high yield market took a nosedive around the time of the crisis, but bounced back pretty quickly, and has been stable ever since. As interest rates have started going higher, so too have the yields […]

How to Trade Bonds to Make up to 200%

How to Trade Bonds to Make up to 200%

Most people think bonds are boring. And it’s true, if you buy a bond and just wait for the coupon payment to arrive, it is definitely an uneventful investment… boring and safe. Of course, that’s exactly why people buy bonds. However, trading bonds is a completely different matter. Bonds, even government bonds, can move as […]