proportion?if 10 yr rates rise 1.5%, ( lacking a table here ), my rough guess would be that 10 yr instruments in genaral would be down 12%.the investor in Tbills can then buy a 4.5% 10 yr and ear it. if rates turn, yes the degree matters, but total returns will go negative, all the while earnings on MM funds will be rising and rising , with an unch NAV. People won Tbills for purpose!In 1981 somebodies owned 14% tbonds instead of 3month 19% CDs,and that even after a few yrs of negative Total returns on bonds.Why ?
Best Of |
Favorites & Replies |
Start a New Board |
My Fool |
BATS data provided in real-time. NYSE, NASDAQ and NYSEMKT data delayed 15 minutes.
Real-Time prices provided by BATS. Market data provided by Interactive Data.
Company fundamental data provided by Morningstar. Earnings Estimates, Analyst Ra