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5/10/2013Market Performance

S&P Indices
Municipal Bonds
S&P National Bond Index 3.00% 0.02
S&P California Bond Index 2.96% 0.02
S&P New York Bond Index 3.13% 0.02
S&P National 0-5 Year Municipal Bond Index 0.70% 0.01
S&P/BGCantor US Treasury Bond 400.09 -0.87
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S&P U.S. Preferred Stock Index 848.03 -1.02
S&P U.S. Preferred Stock Index (CAD) 636.26 5.15
S&P U.S. Preferred Stock Index (TR) 1,701.05 -1.30
S&P U.S. Preferred Stock Index (TR) (CAD) 1,276.26 10.89
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S&P REIT Index 174.07 -0.65
S&P REIT Index (TR) 425.30 -1.56
MLPs
S&P MLP Index 2,469.58 14.93
S&P MLP Index (TR) 5,428.50 32.82
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Income Security Dividends

Security Amount Ex-Div Date
AESYY $0.28 IAD increased from 0.0303 to 0.2771   May 16
AQN PRA $0.28   Jun 12
BAM PFA $0.28   Jun 12
BAM PFB $0.26   Jun 12
BAM PFC $0.30 IAD decreased from 0.4119 to 0.3031   Jun 12
BAM PRG $0.24   Jul 11
BAM PRJ $0.34   Jun 12
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Bond ETFs: Buy low if you can, don't sweat if you can't

USA TODAY - March 21, 2010 - by Matt Krantz

Q: When it comes to bond exchange-traded funds, like the iShares iBoxx Investment Grade Corporate Bond ETF (LQD), is it best to invest when the price is high or low?

A: Investors sometimes have trouble telling which end is up when it comes to bonds.

The confusion probably stems from the fact that bond prices and yields move in opposite directions. When bond prices are rallying — that is, moving higher — the payout, which stays constant, becomes smaller relative to the price, so the yield goes down. Similarly, when bonds sell off, and their prices fall, the yield increases.

With bonds, just with stocks, you want to buy when the price is low. If you invest when prices are low, that means yields are higher. So, not only do you collect a bigger cash payout relative to your investments, you also have a greater shot at price appreciation.

If you pay too much for bonds, you can doom yourself to low future returns.

The theory is easy: Buy bonds when their prices are low. But that's hard to do in practice.

Bond prices are closely tied to economic trends, including inflation, interest rates and movements by the Federal Reserve. While some bond fund managers try to predict such things, it's probably out of the skill set of most individual investors.

And that's why, at the risk of sounding like a broken record, it's best for individuals to simply figure out what percentage of their portfolio should be in bonds. Then, rather than try to time the bond market, track that percentage and hold it there.

Matt Krantz is a financial markets reporter at USA TODAY and author of Investing Online for Dummies and Fundamental Analysis for Dummies. He answers a different reader question every weekday in his Ask Matt column at money.usatoday.com. To submit a question, e-mail Matt at mkrantz@usatoday.com. Click here to see previous Ask Matt columns. Follow Matt on Twitter at: twitter.com/mattkrantz
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