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Friend really likes his new Colorado. Lot larger than the previous model.
My 10+ year old GMC needs body work. Had $$ put away for that until the brakes and a whole lot of other stuff decided to go out all at once at the tune of $2000+.
After today will be up to around 6% in the junk corps with 84% in the junk munis and the rest in cash. Would like to sell some of the munis to get heavier in the corps if the market cooperates by working higher. Then again, the worst may be yet to come in the corps if the *experts* are correct. And as we know, the *experts* are never wrong.
After today will be up to around 6% in the junk corps with 84% in the junk munis and the rest in cash. Would like to sell some of the munis to get heavier in the corps if the market cooperates by working higher. Then again, the worst may be yet to come in the corps if the *experts* are correct. And as we know, the *experts* are never wrong.
Edit: Make that 8% junk corps.
Today is looking like the 5th consecutive day of gains in the junk corporates (and no, HYG and JNK don't tell the story) Quite a divergence from equities. Some of the better open end are down less than 1% for the year. Not exactly the crash we have been lead to believe that is occurring in that sector. Will be interesting to see if the cash market gains continue after the Fed meeting. Will be lightening up on the munis. My meager 8% exposure to the corps may have to be increased quite a bit.
@Junkster What are buying in the junk corpotates and what fund you monitor for the trend ( if not JNK or HYG)?
DavidV monitor JNK and HYG intraday and how they are trading in relation to their previous day's NAV. That can tell you about the cash junk market and how the open end may be priced end of day. MWHYX CYBIX and TGHYX are among the better ones YTD. I don't fool with the short term junk corps and prefer ones where the dividends accumulate daily and paid into your account end of month. That would be MWHYX in the above albeit may add some of CYBIX and TGHYX. I am far from convinced it is smooth sailing ahead for junk corps so don't plan to get too heavy (for now) like has been my norm in the past.
@Junkster Thanks much. Do you try to avoid funds investing in oil related junk bonds?
DavidV yes, so far the better performing junk funds are the ones with the lowest exposure to oil. So although I try to avoid the oil laden ones, if junk has a furious rally the oil related ones which are the most beaten up will probably rally the most. But I try and stay away from the "ifs" and "probablys" and just stick with what is working in the here and now.
MWHYX, per the last report, as of the end of Q3-15, had a little more than 16% in commodity energy. Maybe they sold a lot of that since, because the fund has done pretty well YTD; either that, or they made some really good picks in energy overall.
Comments
My 10+ year old GMC needs body work. Had $$ put away for that until the brakes and a whole lot of other stuff decided to go out all at once at the tune of $2000+.
Edit: Make that 8% junk corps.
https://www.tcw.com/~/media/Downloads/MetWest_Funds/Monthly_Characteristics/Monthly/CHAR_HYB.ashx
defensive posture
12% cash
9% IG stuff
keeping duration relatively short