Wall Street City: Stock Trading & General Investing Thread

413Blue

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My advisor and I have been discussing this for about 12 years. Apart from a small number of special debt instruments he found in odd corners here and there, we have not bought any long or even medium term debt since I started working with him. It is changing, and I'm still wary of long term debt, but 1-2 years seems reasonable to start dipping in.
I'm not too intrigued by longer dated maturities either due to the inversion and the fact that the S&P will still crush these rates over the next ten years with minimal risk.
Suddenly, even Muni's are sexy!

It's weird. I've never even given bonds a second thought before this year. I don't even know where to buy them, other than treasuries.
 

Gotham Gator

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That's an interesting idea. I don't think it is time to buy bonds that are longer term, but it's a good return for the shorter term.

If interest rates keep going up, which it seems they will, then the purchase price of an already issued bond will go down, and this effect will be bigger the farther away the maturity date is. So, it may be a bit early to buy bonds with a maturity date beyond where you need to redeem them.
 

mgarbowski

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Also I took some of my cash reserve and built a ladder at Treasury Direct of 13-week t-bills in which the money just keeps recycling so as one bill matures I buy a new one at the same time. I started it 2-3 months ago and the rates keep going up. . The last auction sold the bills at about 3.3%.

For more info search "t-bill ladder treasury direct"
 
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LionNYC

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I'm just happy that my floating rate Israeli bonds are now paying off well compared to when I invested in them a few years ago.

6-month LIBOR went up HUGE!
 
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