Not exact matches
But there's a pretty good argument that payments on Argentina's euro - denominated
bonds never flow through the judge's jurisdiction: Argentina gives the money to a bank in Buenos Aires, which transfers it to a bank in Frankfurt, which
holds it in the name of a bank in Brussels, which transfers it to a London nominee for Belgian and Luxembourg clearinghouses, which pays it to bondholders.
In theory, you could
hold an individual
bond to maturity and
never lose any money even though the market value of the
bond may fluctuate based on changing interest rates and other factors (but you could still lose out to inflation over time).
I would be interested if you could compare your 60/40 mix to a 60/40 mix using 5 - year
bonds that are laddered so that they can be
held to maturity and used when needed as they mature, and therefore
never need to be sold at a loss.
For those reluctant to buy
bonds «now» I would like to point out that, having
held an allocation to gilts for over 20 years, in all that time the future return on gilts has
never looked good.
Bill Gross, the (former) king of
bonds, and John Thiessen, who runs the Vertex Fund,
never hold back, which makes for interesting reading and tense discussions with the marketing department.
I've
never thought about my real estate investment acting like
bonds to buoy my net worth, but you're right: it'll
hold some of the volatility away.
Considering that this algorithm
never replenishes any of the
bond holdings, it does a great job.
I've known of situations where a
bond manager found himself
holding a disproportionate share of the market of a publicly tradable
bond, where it almost
never trades because he owns so much of the issue.
Professional traders and so - called investors alike prize thirty - year Treasury
bonds for their liquidity and use them to speculate on short - term interest rate movements, while
never contemplating the prospect of actually
holding them to maturity.
Because this calculation is only necessary to determine the bondholder's basis, it need not be done by the bondholder until sale or other disposition of the
bond and, if the holder
holds the
bond until maturity, it need
never be done.
In other words, global sovereign
bond index funds are few and far between, and I have
never seen anyone recommend them as a core
holding.
You
never hold to maturity as this is handled for you - in many cases, the manager will be buying and selling
bonds all the time in order to give you a stable fund that returns you a dividend.
But, unlike a single
bond where the buyer can
hold to maturity, i.e. the duration drops about one tear for each year of real time passing, a fund of treasuries will
never mature, the duration will remain somewhat constant as new treasuries are purchased when others mature or new money comes in.
His recommendation is clear: «We recommend that the investor divide his
holdings between high - grade
bonds and leading common stocks; that the proportion
held in
bonds be
never less than 25 % or more than 75 % with the converse being necessarily true for the common - stock component.»
Many investors will
never want to venture outside investment grade debt (BBB or higher) and will only find themselves
holding bonds which are considered junk after the debt has had its credit rating downgraded.
Does it make the stickiness more like a life insurer
holding onto a rare «museum piece»
bond that they could
never replace, or like a day trader trying to clip nickels?
The federal stash of uncashed cheques, which
never expire, is in addition to nearly $ 1 billion worth of dormant bank accounts and Canada savings and pension
bonds being
held by the Bank of Canada.
According to Shannon,
bonds should
never be
held outside an RRSP.
Never hold less than 20 % in either stocks or
bonds.
To prevent Fur Slip from happening,
never grab a Chinchilla unexpectedly and ensure that there is a
bond of trust built up before trying to
hold it.
It is almost as if that original
bond held out a promise and now the parties are still looking for payment on that promise, a promise that was
never realized.
It brings about a
bonding experience like no other, as you share with your child experiences they might otherwise
never know, expanding their language and comprehension skills, which will
hold them in good stead as they enter their school and life!!
My parents were here visiting and my momma always likes to
hold my hand as we sip on tea... next time, I am grabbing the camera to document our special
bond... because you
never know the last time such a moment is to be had again!