…that act like insurance on government debt. CDS are complicated derivatives, but the idea is relatively simple: two parties enter into a contract where one party pays a premium to…
…I’d love to see an academic study that looks at different periods, market cap schemes, asset classes, and countries to confirm what we can see casually here. I would prefer…
…bonds) are issued by companies with low credit ratings that are considered non-investment grade by credit rating agencies. They usually have a lot of debt and are generally weaker financially,…
…pretty terrible, with returns of less than one percent for the past 33.5 years. The cumulative return is about 31.8 percent, which compares to a cumulative return of 2,453 percent…
…in the futures markets to see what investors think. You can see here that the market believes that rates will fall faster than the Fed does, although it’s a radical…
…bonds, also known as junk bonds, are issued by companies that aren’t fundamentally strong and, therefore, have low credit ratings. They aren’t considered ‘investment grade,’ and many investors are prohibited…
…a high level of attention and service. We use our expertise to fulfill our fiduciary responsibilities. And, we always work to protect the comforts earned by our clients. We work…
…buy: Less than the amount today. 64% of Americans answered correctly. Question 3 Answer True or False: A single company’s stock usually provides a safer return than a stock mutual…
…Gates and Amancio Ortega, earned their fortunes founded businesses. This weekend, his company, Berkshire Hathaway, released its annual report and his Chairman’s letter is always worth reading. Here’s a link…
…higher to me. Our strategy today does not involve attempting to time the bond market. Like most people, we assume that interest rates will rise in the coming years, but…
