This week December 18, 2018, we provide an update on investment conditions including looking at how soon after a stock market peak do recessions start, assuming there is a recession. We also look at what PMI data was prior to the previous two recessions. We revisit bank loan fund investing. Finally, we share some thoughts on a how a member can reach $1 million in assets. … [Read more...]
206: Be Bear Aware of Bank Loans
Why the leveraged loan market (i.e. bank loans) is becoming more risky. What are collateralized loan obligations and how do they influence bank loans. Why I will sell my bank loans fund when the economy turns. Photo by Paul Wellner Bou In this episode you’ll learn: What are the characteristics of bank loans. How bank loan prices adjust based on expectations regarding default. Why bank loans are getting more risky. What have bank loans returns historically. Show … [Read more...]