The Motley Fool Discussion Boards
Investing/Strategies / Bonds & Fixed Income Investments
|Subject: Re: Ford motor credit, 2037, yielding 7.3||Date: 11/30/2012 11:22 AM|
|Author: trader2012||Number: 34538 of 35992|
You're on a roll, no doubt about it, for finding yet another loser.
The current offer is 101.129 x 2 at IB. ZD is quoting 101.129 x 1. But commish would have to be added and, if called, the trade would go under water. Even if the bond matures, the real-return is an underwhelming 0.4% on an after-tax, after-inflation basis.
Those who bought Ford's debt (car division or credit arm) when it should have been bought have done well for themselves. Now, the stuff is just expensive, risky junk.
|Copyright 1996-2017 trademark and the "Fool" logo is a trademark of The Motley Fool, Inc. Contact Us|