No. of Recommendations: 1
"It seems quite foolish to invest at 4.8% for 5 years unless there are rate-bump provisions. "

I have arbitrarily decided that I won't go into 5 year CD's if the rate is below 5.0APY. I bought two jumbo's with 4.8, but with 5.0APY's, and they're barely acceptable, but nothing lower.

mind you, I'm in wacky Tennessee, where CD's are NOT taxed and bond interest is and that helps the lower CD's.

I've bought one HFC A rated bond recently, and against ALL advice I even bought PMX bond fund. I did that because I intuit that interest rates will stay depressed a lot longer than most think. If it delivers I can take a modest hit on principle.

My quandry is that I've got about 300k coming into cash in 03 and I'm not sure where to put it. I don't want to go further into bonds, CD's are awful, and the market is oversold. Cherry picking the latter may be the ugly solution.

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