Thread: Investing 102
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Old 05-04-2013, 06:44 AM
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GregWeld GregWeld is offline
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So I forgot the reason for mentioning the movement of the bonds....


Now that the bonds are in my Schwab account --- I can see their performance and sort them etc. There's some 85 different names!

What I wanted to say in the above post --- and got off subject --- was what horrible investments these have been!! OMG!! The best performing bond is up 7% (face value) and most are up a whopping 2 or 3%!! Versus an AVERAGE of about 11% on the stocks.

Mind you - they are purchased for a completely different reasoning. They provide steady TAX FREE income of around 4% --- doesn't sound like much until you do the math --- and compare that against the dividend you must earn on a stock and pay tax on it. Dividends are now taxed at 20% so you have to take that into consideration if you're using the money now vs holding them in a ROTH or IRA/401K account.
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