Skip to main content
No. of Recommendations: 6
Way, way back in '11, I bought 25 Mich Tob bonds (the zeros of '52) at 1.2438. Recently, most of them were called at 10.5328, yielding a decent YTM of 23.8%. Ord Inc taxes will take a quarter of that gain, because I stuck the bonds in an IRA rather than pay taxes on the implied interest each year.

Retrospectively, you might think I wish I had bought more. But the purchase amount was sized to my account at the time and tolerance for risk. I knew it was a lottery ticket and bet accordingly. But it does feel good to have seen an opportunity and to have acted.
Print the post  

Announcements

What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.