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bee, the interview was 5 months ago and was right on but many probobly thought he was wrong. He proved to be correct. How about now, maybe more left to go for treasuries.
As mentioned, LT Teasuries have been and will continue to be an insurance policy for equities. If you agree with that perspective they are still providing this dynamic for an investor who includes them. One of my reallocation strategies has been to take equity profits and use them to buy LT treasuries and other alternative investments to equities. I diversify my profits.
There may come a point where these holdings (LT Treasuries and the like) show outsized gains or move out of favor. I own BTTRX (American Century Zero Coupon 2025) as well as USAGX. I try to pair these two investments as insurance against each other. Gains in one get reallocated to the other. This smooths the ride as well as keeps me invested in both. Here's a chart of the two together:
Howdy bee, I will presume you don't bump into trading limits (round trips within the fund house)with your USAA account; if this is where these are held? Several of our accts limit fund exchanges to 20/year. Take care, Catch
My trend-following portfolio is still 100% in BOND (since end of April). IEF and TIP have since shown a little more strength, but I am happy with the parking place. This switch has saved me a ton of money. So far so good. Let's see how it works when the trend reverses. No signs of a turnaround yet.
Howdy Kaspa, Your money is in a good place; as you should have been able to keep your equity gains from last fall and now compounding upon that. The ultimate plan, eh? One may suppose some magical event taking place and the financial troubles will be healed and gone. NOT! If we find a bit more twitch in the system on Monday, will would likely further offload the more sensitive bonds.....HY, EM and do a trim job on LSBDX. Hopefully, some of the remaining diversified bond funds will maintain. 'Course I know there are those who are awaiting bond holders to get their clock's cleaned. Your BOND holding at least allows you to head for the hills within a few minutes of trading. Good work for paying attention to the items you monitor. Regards, Catch
I use a screen capture software called jing. Its simple to use and easy to add to a discussion thread. He's this discussion I had posted on it awhile back. Let me know if I can help further.
Comments
Here's an interview with Consuelo Mack:
http://www.investmentpostcards.com/2012/01/02/wealthtrack-robert-kessler-–-why-treasury-bonds-still-make-sense/
Hi ron,
As mentioned, LT Teasuries have been and will continue to be an insurance policy for equities. If you agree with that perspective they are still providing this dynamic for an investor who includes them. One of my reallocation strategies has been to take equity profits and use them to buy LT treasuries and other alternative investments to equities. I diversify my profits.
There may come a point where these holdings (LT Treasuries and the like) show outsized gains or move out of favor. I own BTTRX (American Century Zero Coupon 2025) as well as USAGX. I try to pair these two investments as insurance against each other. Gains in one get reallocated to the other. This smooths the ride as well as keeps me invested in both. Here's a chart of the two together:
I will presume you don't bump into trading limits (round trips within the fund house)with your USAA account; if this is where these are held?
Several of our accts limit fund exchanges to 20/year.
Take care,
Catch
reverses. No signs of a turnaround yet.
Your money is in a good place; as you should have been able to keep your equity gains from last fall and now compounding upon that. The ultimate plan, eh?
One may suppose some magical event taking place and the financial troubles will be healed and gone. NOT!
If we find a bit more twitch in the system on Monday, will would likely further offload the more sensitive bonds.....HY, EM and do a trim job on LSBDX. Hopefully, some of the remaining diversified bond funds will maintain.
'Course I know there are those who are awaiting bond holders to get their clock's cleaned. Your BOND holding at least allows you to head for the hills within a few minutes of trading.
Good work for paying attention to the items you monitor.
Regards,
Catch
Hi ron,
I use a screen capture software called jing. Its simple to use and easy to add to a discussion thread. He's this discussion I had posted on it awhile back. Let me know if I can help further.
http://www.mutualfundobserver.com/discuss/index.php?p=/discussion/2030/utilizing-a-screen-capture-tool...jing#Item_3