No. of Recommendations: 1

If you've been doing the NAIC gig, you're in good shape to do bonds, with very little extra to learn, because financial ratios and statements will already be familiar to you. Stocks or bonds, in both cases you're just investing in the underlying company and the numbers have the same impact. The main difference is your position in the credit line and the fact that bonds do mature.

A suggestion. Go back and read everything Chris (aka, Crosenfield) has posted. She's as level-headed and experienced a fixed-income investor as they come.

Some additional reading you might do: This week's Business Week Magaazine has a good article on identifying debt in financial statements in their The Fine Print series, and is generally a good source of what's happening. Also get a hold of Marty Whitman's book <Value Investing: a Balance Approach, as well as go to the Third Avenue website and go thorough his letters to shareholders. He is one of the best at being able to decide whether to be an owner or a creditor. Get a hold of Fridson's book Financial Statement Analysis" for a look behind the scenes of financial statements. Get a hold of Barnhill's book High Yield Bonds, not because you want to invest in them (yet), but because the book is really good about explaining how the bond market really works.

Best wishes, Charlie

PS No, I don't trade bonds either, as very few of us on this board do, because transaction costs are prohibitive and the necessary data is all but impossible to obtain.
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