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Subject:  Re: Question on callable bonds Date:  3/11/2013  3:52 PM
Author:  globalist2013 Number:  34823 of 35576


Gaming calls can be tricky, especially bonds as thinly traded as that one. But sales are happening far above par. The spread is tight, and the coupon is modest. So a reasonable bet would be that the bond isn’t going to be called soon.

The more important question to answer is why would anyone bid for those bonds? Do the math. They don’t offer a real rate of return after taxes are paid and inflation is subtracted. If you’re trying to lose money, there’s smarter ways to do it.

How far out is that bond? How far down is that bond? Set up a scan that asks to see anything Baa2/BBB or better and no more than 6 years out. Then figure out which