In Plus episode 433, we compare Kubera to Exirio. We discuss bond portfolio structure and compare the DoubleLine Core Fixed Income Fund to the DoubleLine Total Return Bond Fund. Finally, we discuss how federal budget deficits, quantitative easing, quantitative tightening, and minting a trillion coin contribute to wealth, liquidity, and inflation. … [Read more...]
432 Plus: Where To Invest In Bonds Now and a Cockroach Role-Based Portfolio
In Plus episode 432, we compare investing in CDs, municipal bonds, investment grade corporate bonds, U.S. Treasuries, or TIPS in the current investment environment. We also analyze a version of a role-based permanent portfolio that incorporates long volatility and trend-following strategies. … [Read more...]
418: Bond Investing Masterclass
What you need to know to confidently invest in bonds. Topics covered include: Key components of bond investing include face value, coupon rates, yield-to-maturity, duration, and convexity How to decide between owning longer-term or short-term bonds How to decide whether to own individual bonds or bond funds and ETFs When to use active bond management versus bond indexing How bullet bond ETFs work and when to use them How to know when to invest in municipal bonds and … [Read more...]
404 Plus: More on Bonds, Interest Rates, Monetary Velocity, and Inflation
In Plus Episode 404, we discuss paying down a mortgage early now that interest rates are higher. We answer a member's questions on how to invest college savings to be used in seven years or less. We revisit selling intermediate-term bond funds and ETFs. We revisit David's decision to buy and sell PFIX. Finally, we look at what monetary velocity is, why it is increasing and does that suggest inflation will stay high for longer. … [Read more...]
378 Plus: A Frustrating Time To Invest and Did BulletShares Underperform?
In Plus Episode 378, we discuss the fear, uncertainty, and frustration we can feel investing in the current environment. We also look at how to estimate the performance of BulletShare ETFs, which are ETFs that hold bonds and have fixed maturities. We consider why a member's BulletShare ETF fell well short of his expectations. … [Read more...]
337: Why in the World Would You Own Bonds?
With interest rates rising does it still make sense to own bonds? Yes. This episode explores the role of bonds including why they are more effective at hedging stock losses than protective put options. Topics covered include: David's business and investment philosophy How bond funds have performed in 2021 Three disparate views on the direction of interest rates from Capital Economics, Ray Dalio, and Hoisington Investment Management Company How to invest in China … [Read more...]
331 Plus: Member Profile, Tail Risk Protection, Rental Real Estate as Bond Substitute, and YYY ETF
In Plus Episode 331, we profile a member in Bosnia who is deciding on a new asset allocation after selling a business. We consider whether investors in their thirties should seek tail risk protection against declining stock markets. We evaluate how rental real estate can be used as a bond substitute. Finally, we analyze the Amplify High Income Fund ETF (YYY) that invests in closed-end funds. We also discuss CEFL and CEFD that follow a similar strategy. … [Read more...]
324 Plus: Currencies, Bond Convexity, and Support Levels
In Plus episode 324, we discuss a new investor's question on how the currency can impact an investment's return. We explore bond duration and convexity and why the duration for bonds increases as interest rates fall. Finally, we consider support and resistance levels for stocks and whether they have any merit. … [Read more...]
308 Plus: August 2020 Investment Conditions and Model Portfolio Changes
In this Plus episode, we review investment conditions as of early August 2020. We discuss the recent changes to the adaptive model portfolios to add core fixed income. Finally, we review recent and anticipated changes to David's portfolio. … [Read more...]
306 Plus: Member Profile, Bond Investing, and Emerging Technology
In this Plus episode, we profile a member who is transitioning his portfolio for retirement. We discuss fixed income options, fixed annuities and other challenges with a low interest rate environment. We also look at the viability of investing in individual emerging technology stocks, particularly companies focused on computer vision. … [Read more...]
