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| BondsOnline.com: instant access to and extensive coverage of over 3.5 million stocks, bonds, indexes and other securities covering major and emerging markets and exchanges across the globe. |
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| Bonds Online |
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| 5/10/2013Market Performance |
| Municipal Bonds |
|---|
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S&P National Bond Index
|
3.00% |
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S&P California Bond Index
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2.96% |
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S&P New York Bond Index
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3.13% |
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S&P National 0-5 Year Municipal Bond Index
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0.70% |
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| S&P/BGCantor US Treasury Bond |
400.09 |
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| More |
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| Income Equities: |
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| Preferred Stocks |
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S&P U.S. Preferred Stock Index
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848.03 |
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S&P U.S. Preferred Stock Index (CAD)
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636.26 |
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S&P U.S. Preferred Stock Index (TR)
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1,701.05 |
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S&P U.S. Preferred Stock Index (TR) (CAD)
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1,276.26 |
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| REITs |
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S&P REIT Index
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174.07 |
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S&P REIT Index (TR)
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425.30 |
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| MLPs |
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S&P MLP Index
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2,469.58 |
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S&P MLP Index (TR)
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5,428.50 |
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See Data
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How to Hedge Investment Grade Bonds |
Smart Money - Nov. 28, 2011 - By Jonathan Hoenig
Hoenig: Consider taking the other side of the corporate debt trade.
With current yields near 0.01%, average money market funds will double your investment in 7200 years. Patience, dear saver.
So when savings accounts, certificates of deposit and government bonds also pay next-to-nothing, savers and investors have added corporate bonds as one means of boosting income. Lately, however, that's been a losing approach.
iShares iBoxx $ Investment Grade Corporate Bond Fund (LQD), the benchmark ETF which tracks high quality bonds has dropped 4.5% since hitting an early November high, significant considering the asset itself only yields roughly 4%.
Carrying credit risk, corporate and high-yield bond funds tend to track more with stocks than government debt. But the most recent decline can be attributed primarily to Europe's fiscal mess. Many "investment grade" bond funds like LQD hold debt from wobbly European banks. Over 15% of LQD's assets are allocated to European institutions, including Barclays, Deutsche Bank and Royal Bank of Scotland, which have seen their stocks plunge.
Like other fixed income instruments, corporate bonds carry interest rate risk, meaning a general rise in rates would push bond and bond fund prices lower. Duration indicates how much prices are likely to move as rates change, and the iBoxx $ Investment Grade Corporate Bond Fund currently has a duration of approximately 7.4, meaning a 1% rise in interest rates would drop the fund's price by 7.4%.
For the complete article.
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| Stuff to look at |
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| BondsOnline Advisor |
Income Security Recommendation January 2013 Issue.
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