Quote:
Originally Posted by GregWeld
I just sent an email to my bond broker and instructed to sell my entire muni bond portfolio. I think we are going to start to see interest rates rise. Houses are selling. Employment seems to be improving. And in order to make money you must be AHEAD of the game many months. If I wait to be certain it can make a giant difference. As low as rates are right now, a very small move up would mean a huge drop in bond values. Since I have a nice capital gain now. I'd prefer to lock that in. And if I'm right I want to have even more money in equities.
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Greg, I did something just like that...Due to the conditions , I am decreasing my Bond exposure and increasing my Dividend Stock exposure.
Also I am selling off some of my "Insurance",Precious Metals, and going into Dividend Stocks.
I feel the Interest rates are going to rise and hammer Bonds, and i feel that I have got all the gains I can out of my Precious Metals.
Normal Investing would say own more Bonds the older you get, and it seems counter intuitive to go heavier Stocks, but with the present conditions and Politics, I am decreasing my Bonds and Precious Metals and increasing my Dividend stocks...
Mike
