The tremors of the housing market and credit credit crisis hit another type of investment this week, the auction rate security market. The Wall Street Journal and several other business magazines...
Marketwatch recently posted an article about the attractiveness of Municipal Bonds, pointing out that some long-term munis pay a tax equivalent rate of over 7%. But investors should consider...
There is a class of auction rate securities - SLARS - that are causing many of the problems in the ARS market. Their auctions have failed and they have low reset rates. The investment banks are...
For all you municipal bond investors, cities and towns are having a hard time paying their bills. Most munis are probably safe but make sure you pay attention to what you are buying. Even "rich"...
Several politicians have proposed giving each child born in the country a bond that matures after a certain period of time. The idea is to foster an idea of savings and start everyone off in the...
Municipal bonds are now offering extremely attractive short term interest, beating out comparable Treasuries. They are a great source of tax free income. This is new and may not last very long.
Death bonds are an increasingly popular investment. They bet against major catastrophes like pandemics, nuclear attacks, etc. Last year they returned 7.6% versus 2.5% for corporate bonds.
The...
Lest you think the failure of the auction rate securities market was just rattling Wall Street and Main Street, Techcrunch posted an article about how it has impacted Silicon Valley. Apparantly,...
I personally have been stuck in some of these things for months. I was sold these on the grounds that they are just like cash and that I could always get out. I cannot. While I believe that...
If your town or city needs to borrow money their cost has gone up quite a bit over the last couple of months. Tax-exempt bonds are now selling at a premium over treasuries, yielding more for...
Unraveling of auction rate securities market shows it really is buyer beware for non FDIC insured products. And for something marketed and considered "safe as cash."
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