Money and Finance
FPA Funds - Buyer’s Strike Revisited
June 16, 2008 marked the five-year anniversary of when we drew our line in the sand by penning “Buyer’s Strike.” Our stance at that time was that “we are on a buyer’s strike in regard to the high-quality segment of the bond market.” We argued, “we consider high-quality bond yields below 4% as having little or no investment merit and, therefore, we will not deploy your capital into them.” We believed that high-quality bonds, with maturities of greater than two-years, had too much price risk.
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Since June of 2003, our buyer’s strike has been questioned many times by clients, shareholders and others, so we thought it was appropriate to look back at what has transpired in the bond market since we took that position.
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Howard Marks Quotes
From The Most Important Thing (and his April 2007 letter, "Everyone Knows"): ...most investors think quality, as opposed to price, is the determinant of whether something’s risky. But high quality assets can be risky, and low quality assets can be safe....
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Gundlach: Treasuries Will Rally When Qe2 Ends - By Robert Huebscher
The bonds that PIMCO’s Bill Gross sold to take a 3% short position in the Treasury market may have found a buyer in Doubleline’s Jeffrey Gundlach. In a conference call with investors last week, Gundlach said that Treasury prices would rise in the...
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Jackpot!
I don't think there's anyone, in the U.S. at least, that hasn't heard about the $1.3 $1.4 $1.5 B Powerball lottery that will be drawn tonight. That's right a B not an M. A 1 and a 5 and then 8 0's. I don't normally purchase...
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Selling Puts For Added Income
I wish I had more capital to put to work right now because I've found some interesting put option moves that can give some solid return on otherwise idle capital. All information is based off the closing values from February 8, 2012. The current price...
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Ge Dividend Increase
Morning Reader(s), GE increase its dividend by $0.01 on Friday. Since I own 48 shares of GE my forward dividend increased by $1.92. Some commentators have been complaining the $0.01 increase. In my opinion, I just received a bigger raise than the majority...
Money and Finance