In Plus episode 302, we review recent trades in David's portfolio and discuss ways to construct a laddered bond portfolio. We analyze a portfolio managed by a financial advisor for a 71-year old woman. Finally, we discuss whether individuals should purchase their employer's stock as part of a promotion even if it leads to a highly concentrated position. … [Read more...]
279 Plus: December 2019 Portfolio Review, A Member Profile and Why Bonds
In Plus episode 279 for the week of December 6, 2019, we review changes to David's portfolio and discuss why there haven't been changes to the model portfolios in the past year. We review a member's portfolio and discuss his 25% allocation to an actively managed separate account. We discuss the criteria the member uses to evaluate the manager. Finally, we review why investors would want to own bonds. … [Read more...]
255: With Interest Rates Falling, Why Do You Own Bonds?
How an asset class such as bonds can play different roles in your portfolio depending on your investment philosophy. In this episode you’ll learn: What are bonds and how can they be used in investment portfolios.What is interest rate anticipation.Why individuals have an advantage over institutions because they don't have to worry about outperforming a benchmark when it comes to bonds.Why U.S. interest rates could rise and fall from current levels.Why China is unlikely to sell all … [Read more...]
225: How To Invest In Bonds and Other Fixed Income Securities
How to evaluate interest rate risk, credit risk and other factors when investing in bonds. Photo by Wes Hicks In this episode you’ll learn: What determines interest rates.What determines the performance of fixed income investments.How to estimate the return of fixed income holdings.The tradeoff between owning individual bonds or bond funds/ETFs Show Notes Eaton Vance Bank Loan Chart Book Annual Default Study: Corporate Default and Recovery Rates, 1920 - 2017 - … [Read more...]
224 Plus: October 2018 Portfolio Review and Longer-Term Bonds
This week October 5, 2018, we review the model portfolios and discuss the recent change in the models and David's portfolio in terms of swapping DoubleLine Bond Funds. We also look at what conditions would justify investing in longer-term bonds. … [Read more...]
204 Plus: Floating Rate Treasuries, Currency Forwards and Merriman Ultimate Buy and Hold Portfolio
This week May 12, 2018, we analyze floating rate Treasury ETF as a cash substitute. We look at how investors are supposedly locking in 3% returns using currency forward contracts, but it is unclear how they implement the strategy. Finally, we review the Paul Merriman Ultimate Buy and Hold portfolio. … [Read more...]
203 Plus: Fixed Income Options and Rebalancing To The Model Portfolios
This week May 5, 2018, we analyze various fixed income options given rising short-term rates. We also focus on the risk of bank loan funds. We also review a challenge a member is having in rebalancing his portfolio to the model portfolios. … [Read more...]
MNY144 Plus: Financial Advisors, Rising Rates and Market Depth
This week February 11, 2017 on Money For the Rest of Us Plus we look at a the difficulty in finding a financial advisor to manage assets. We look at under what circumstances an investor should shift some of their bond allocation to cash. Finally, we look at the specialist function on stock market exchanges and analyzing market depth. … [Read more...]
MNY139 Plus: What Drives Gold Prices, Regret, Zero Coupon Bonds and Portable Alpha
This week January 7, 2017 on Money For the Rest of Us Plus we look at how interest rates and the value of the dollar influence the price of gold. We also look at how gold has outpaced inflation over time and how investor sentiment has been a good measure of when to buy gold. We also explore how buy and hold investing reduces regret. Finally, we look at investing collateral used as part of a strategy to get market exposure though futures and how portable alpha strategies work. … [Read more...]
136 Plus: Emerging Market Bonds, Private Equity, Home Purchases and Household Debt
This week December 10, 2016 on Money For the Rest of Us Plus we look at emerging market bond investing in the current environment, we analyze a low minimum private equity fund of fund, explore current household debt balance and delinquency trends and discuss whether to get a home mortgage when purchasing a first home. Audio duration: 26:45 … [Read more...]
