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Time to buy into bond funds holding lotsa US Treasuries?
Reply to @MaxBialystock: Hey Max, DBLFX/DLFNX is a good core bond fund, not just for "rates up, cost down," but core as in, buy in and stick with it. Has T's, but it's not going to shoot to the moon when T's go up in price; has a lot of mortgages of all kinds, plus U.S. corporate credit and EM bonds. It's 10% of my port.
Thanks, AndyJ. I've received some additional input elsewhere too, which has me deciding to go with DLFNX. I don't have enough available to do DBLFX. (That's the larger-minimum requirement, yes?) Seems to me I got lotsa bases covered, but not a core bond fund. But M* says DLFNX is not a run-of-the-mill, standard, more conservative CORE bond fund, like most others. I suppose that will have to be OK. And I like the way J. Gundlach produces impressive investment results...
With a longer rather than shorter time-horizon, I'm also toying with starting a very small position in TBGVX or TBCUX, allegedly global, but heavy in western Europe. Surely bargain prices to enter that space right about now, eh? Thanks again.
Reply to @MaxBialystock: The D'Line funds all allow a $5k minimum for the cheap shares in an IRA, if you have any of that space available.
Imho, M* isn't on top of what JG's doing at D'Line; I'd take their narrative reports on his funds with a tubful of NaCl and let the statistics and his interviews and web casts do most of the talking. You can follow what JG did in earlier years by looking at TGCFX, which was his core bond fund until the TCW divorce.
Howdy Max, This fella and family arriving home from vacation; and I likely have some drivers fatigue; but I am trying to understand the original subject line, "Time to buy into bond funds holding lotsa US Treasuries?", the Bloomberg story and the relationship to "now" wanting to buy a core U.S. bond fund. I understand you want to have a U.S. bond mix in your portfolio; but the way I read this is that based upon the subject line and the article that the "Rates up, cost down" has me confused for your viewing this investment. You may have also written, "Rates up, price down". I have no doubt that Mr. Gundlach and co. will be able to steer through interest rate increases; but if the last 17 day period were to be the very bottom of low yields for Treasuries/mortgage, etc.; there would likely be a re-deployment period for many core bond funds to rework their holdings, once they have discovered the drop in yields is over and rising rates are in place. Lastly, a well operated core bond fund is a purchase that must be made with the consideration that the management team will steer through interest/yield rate swings, regardless of when one chooses to begin placing monies with a fund. Okay, time for laundry and other chores. Regards, Catch
Comments
With a longer rather than shorter time-horizon, I'm also toying with starting a very small position in TBGVX or TBCUX, allegedly global, but heavy in western Europe. Surely bargain prices to enter that space right about now, eh? Thanks again.
Imho, M* isn't on top of what JG's doing at D'Line; I'd take their narrative reports on his funds with a tubful of NaCl and let the statistics and his interviews and web casts do most of the talking. You can follow what JG did in earlier years by looking at TGCFX, which was his core bond fund until the TCW divorce.
Tweedy's not a bad idea, either. Good luck.
This fella and family arriving home from vacation; and I likely have some drivers fatigue; but I am trying to understand the original subject line, "Time to buy into bond funds holding lotsa US Treasuries?", the Bloomberg story and the relationship to "now" wanting to buy a core U.S. bond fund. I understand you want to have a U.S. bond mix in your portfolio; but the way I read this is that based upon the subject line and the article that the "Rates up, cost down" has me confused for your viewing this investment. You may have also written, "Rates up, price down".
I have no doubt that Mr. Gundlach and co. will be able to steer through interest rate increases; but if the last 17 day period were to be the very bottom of low yields for Treasuries/mortgage, etc.; there would likely be a re-deployment period for many core bond funds to rework their holdings, once they have discovered the drop in yields is over and rising rates are in place.
Lastly, a well operated core bond fund is a purchase that must be made with the consideration that the management team will steer through interest/yield rate swings, regardless of when one chooses to begin placing monies with a fund.
Okay, time for laundry and other chores.
Regards,
Catch