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Author: imcharliehm Three stars, 500 posts Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 35400  
Subject: Re: Good bond lists? Date: 8/19/2001 5:46 PM
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8% investment-grade corps, Baa2/BBB or better, and not just the Baa3/BBB- transitional stuff, were available a year or so ago, but no longer and won't be until stocks turn around, as Chris notes.

But some good quality 7%'s are still available. Check the offering lists at www.bondsonline.com and a half dozen other sites.

My suggestion? Take a look at REIT's instead, or just pick a couple of high-yield issues that seem to be babies getting thrown out with the bath water, roll up your sleeves, and work your way through their SEC filings, the news reports, the analysts' comments, the message boards, and do a PeterLynch-style onsite visit if you can, etc., until you know the company well enough to be able to quantify your risks and feel comfortable with a speculative-grade issue.

In short, do the same thing in buying your bonds that you would if you were a long-term investor buying shares in a business. The disadvantage is that you'd be a (fractional) creditor, instead of a (fractional) owner with a cap to your upside potential. The advantage is that you are ahead of the common shareholders in case of a reorg or business failure and your investment will have a known maturity date.

Charlie
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