3 May 2017

100-year bonds - only for traders and madmen!

If anyone seriously considers 'investing' in 100-year bonds he should immediately see a doctor, or even better, a psychotherapist. There is no value in this piece of financial garbage, certainly not when global interest rates are at all time lows, and artificially (criminally?) depressed by Central Banks in the pay of useless and inept governments. There may be times when these ultra-long maturity bonds offer trading opportunities, but apart from opportunities to sell them short the time to go long is in the distant future. Be careful that your financial adviser does not stuff your portfolio with this paper! Institutional investors may be tempted to buy into this hype, but it is not their own money and when the s**t hits the fan the fund managers responsible will long be gone.
Trump's 100-Year Bonds Contain Lots of Risks for Traders