In 2013, Bonds are Risky

134 views

Published on

Alan Greenspan, Ben Bernanke, and Warren Buffet have all cautioned against bonds recently and deemed them risky investments. So what makes the risk level so high?

Published in: Economy & Finance, Business
0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total views
134
On SlideShare
0
From Embeds
0
Number of Embeds
1
Actions
Shares
0
Downloads
0
Comments
0
Likes
0
Embeds 0
No embeds

No notes for slide

In 2013, Bonds are Risky

  1. 1. Mullooly Asset Management PodcastMay 15, 2013Mullooly Asset Management May 2013
  2. 2. A General ConsensusGreenspan, Bernanke, and now Buffet:- "If you own bonds, you could really get hurt."Mullooly Asset Management May 2013
  3. 3. Things to Keep in MindFor 30 years interest rates went in onedirection...downAverage rate for long term bonds = just over 6%Long term treasury bond in 2013 yields just over 3%Mullooly Asset Management May 2013
  4. 4. Bonds StocksSafer for last 30 yearsHave now become riskyRisky for last 30 yearsHave now become saferMullooly Asset Management May 2013
  5. 5. Bond Yields and Bond ValuesHave an inverse relationshipTranslation: Bond yields go upBond immediately drops in valueMullooly Asset Management May 2013
  6. 6. You Will Be OK With Bonds If…You did not pay a big premium for your bondsYou plan on holding the bonds to maturityMullooly Asset Management May 2013
  7. 7. None of the securities mentioned in this (or any)podcast or video represent past specificrecommendations of Mullooly Asset Management.This video is NOT a recommendation to buy or sell anyof the securities mentioned here.If you’re relying on a podcast for investment advice, youare likely making a huge mistake.We strongly urge our listeners to consult with theirinvestment advisor before they make a decision to buyor sell any investment.Mullooly Asset Management May 2013
  8. 8. Mullooly Asset Management, LLCsupport (at) mullooly (dot) net732-223-9000www.mullooly.netMullooly Asset Management May 2013

×