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Sven
Lynn,
Thank you so much. I am planning on a 3-year ladder since I am a year away from retirement. Lots of spreadsheet work to calculate the income replacement needed. This ladder will create a steady income stream. So thank you for all your help.
I moved back to high quality bond funds this year. Some of which you covered in the SA article. For now, I will stay with agency bonds to the bond ladder. I will pick active managers for corporate bonds.
Sven
More interest read on Ray Dalio:
Billionaire Ray Dalio, founder of the hedge fund Bridgewater Associates, will receive billions of dollars in exchange for his retirement from the firm after “more than six months of frantic behind-the-scenes wrangli…
CDs vs bond funds are really apple-to-orange comparison. CDs are considered cash equivalent, i.e. saving accounts and money market funds. The credit risk is low since they are FDIC guarantee. Bond funds have their duration and credit quality risk…
Think you can do better. Large brokerages such as Fidelity offers one-yr non-callable brokered CDs yielding 4.85%. Just avoid callable CDs from JP Morgan. Bank CDs are not competitive for my $.
@hank, thanks for clarifying about Gibson Smith position. Here is an article from him on bonds in general.
https://biz.crast.net/there-are-many-bargains-on-offer-in-the-bond-market-where-to-shop/
I don’t take one year ranking seriously either e…
This weeks one can build a nice 3 mo, 6 mo and 12 month T bill ladder with yield ranging from 4.85 - 5.0%. Since today is a holiday, Fidelity still have the auction open.
Also don’t forget to check out the CDs too.
I do hope bonds do make a turnaround this year after 2022. However, current inflation data, high service cost and strong consumer spending argue for longer rate hike than market may expected. Now they are expecting three 25 bps rate hike for the y…
Think he is there to show the continuing support for Ukraine and to reassure NATO. He is heading to Poland. All former European bloc countries (except for Hungary) are supporting Ukraine because Putin want to rewrite the failed history of the Wars…
*** Bonds of most flavors received a face slap again this week, although many bond sectors were positive on FRIDAY, easing some of the losses. I'm still inclined towards IG bonds for the longer term, being year(s) not months; when the FED rates in…
Thank you. Great to visualize the inverted yield curve.
Short duration are reaching close to 5%. As of today, 6 mo and 12 mo T bills yield 4.98 and 4.99%, respectively.
https://home.treasury.gov/resource-center/data-chart-center/interest-rates/T…
@MikeM, Quite honestly I don’t fully understand how to calculate the expected return from MF/ETF. So I hesitate to invest much in TIPs and limit myself to T bills and CDs at auction.
Now I am looking into individual agency bonds to get a bit high…
Notice that the treasury yield curve has changed since summer 2022:
1. The inverted curve started to flatten as 1 yr, 2 yr and 10 yr yields moving upward in the last several weeks.
2. As of yesterday, the 6 mo and one year yields reached 4.98% a…
Also he sold majority of Taiwan Semiconductor Manufacturing that he acquired a year ago.
https://cnn.com/2023/02/15/tech/warren-buffett-tsmc-chips-earnings-hnk-intl/index.html
@msf, thanks to your advice. I have gotten into several institutional MFs with a transaction fee while at a lower minimum. Adding more later with Fidelity’s automatic feature for $5 works well. Vanguard brokerage still requires $1M minimum. Still p…
In order to have long flight path, these devices need a floating platform such as a helium ballon to ride the air stream. It seems that many of parts can be found in a hobby shop. I think the intent is to disrupt and harass the west. Both Russia an…
That is fantastic! I got to give that a try. We are still using the older mini for storing music, video, and photo files - 8 TB and growing. Learned to make high resolution video recently.
In the past I invested in Franklin Mutual Discovery fund and FMI International fund. Both are currency hedged funds.
MDISX. The Fund regularly attempts to hedge (protect) against currency risks, largely using currency forward contracts and curre…
They could be from North Korea and Iran. With solar panels the size of satellites, they can be launched anywhere. Certainly these are designed to be expendable and lot less than low orbit satellites.
We have been lucky with our Mac so far with Safari browser. I only use Edge ant work but it is really clunky.
Updated to Mac Mini computer with M1 processor so It runs the largest Monterey OS.
@Crash, I use PC at work but there are firewalls protecting the system, but often at the expense of quick response. Supposedly, Windows OS10 and beyond have rewrote their codes to follow Apple (I am not a computer expert) that hardened their securi…
Saw the article in Apple News. Here is the link to The Guardian,
https://theguardian.com/us-news/2023/feb/12/us-military-shoots-down-fourth-flying-object-over-north-american-airspace
Whitmer said on Twitter that federal officials had been “trackin…
@hank, think you are right about Russia testing the detection boundary of NORAD.
A third object was shot down over Canada Yukon Territory on Feb 11.
A fourth object was shot down over Lake Huron on Feb 12. That may explain the closing of airs…
@hank, Many thanks to your info on what Fed and the market control. I too notice the 10 year treasury yield has moved up from the low 1.3% (1/5/23) to 3.74% (2/10/23), and that is sizable change in short time. High quality IG bond funds I am inves…
@catch, really appreciate your reporting on bond performance.
Question: is there a correlation between 10 year treasury yield to the rest of bond market? This past week there is a pullback on IG bonds.
If you don’t want to be track of where you browse, you can choose “private mode” in Safari or “Incognito window” in Google Chrome browsers; they do nor leave your browser history. Additional, one can subscribe to a VPN provider that will protect yo…
I remember the film, Independence Day, well. https://imdb.com/title/tt0116629/
Reporting from major outlets provided limited details with respect to the “object”. Having bits and pieces of information do not form a complete picture. Cylindrical sh…
No discernible propulsion system
- Able to stop and hover in mid-air / change direction
Very unusual for sure. It was shot down with a heat-seeking missile (Sidewinder). So it has a heat signature.
@PRESSmUP, you are spot on with respect to rate hike. Interest rate may stay high until the end of 2023. The probability of a recession is increasing while the next question is how bad can the recession be. The Fed is in a tough spot now just as …
Both stocks and bonds are down today, just as everything looked rosy on Thursday.
The employment figure spook the market. The nonfarm payrolls to rise by 187,000 in January and the unemployment rate ticked down to 3.4%. This suggests another rate …
One can invest directly with Seafarer to gain access to the institutional shares and signing up with their automatic investment plan. The minimum is $1,500.
https://seafarerfunds.com/invest/
SIVLX is a mid-cap value EM fund. Even though it has 1…
It was very strange yesterday when Meta reported good earning and stock went up considerably as the rest of NASDAQ. In the meanwhile, Meta laid off 11,000 (13%) of their employees and will buy back $40 billion of their stock. It is all about keepin…
I would say it is with fee waiver. If you subscribe to Apple News ($10/month), you get SOME articles which are behind the paywall including Barron’s, WSJ, and Washington Post.
But now that the Federal Reserve has hiked interest rates repeatedly,…
Thanks @yogibb for the update - quite a reversal on treasury yield on both long and short durations. Perhaps this reflects the inflation has finally slowed and the terminal 5% rate is very near. Additionally, CD yields have been treading downward s…
