At 190 basis points more than 30-year Treasuries
AIG could pay investors 4.
In addition, the company has issued USD700m in 30 year bonds at a yield of 30-year Treasuries
At one firm, for example, the interest rate risk exposure of every fixed-income security was translated into the corresponding quantities of two-year, 10-year and 30-year treasuries
that, if sold, would offset that exposure.
We sold bonds maturing in three years or less and bought 30-year Treasuries
5 percent while 30-year treasuries
are trading at about 6.
The steady dollar also helped lift bond prices, pushing down yields of 30-year Treasuries
At a time when 30-year Treasuries
yield little more than 5 percent, there is much to be said for a partially tax-sheltered 7 percent stock dividend.
I recommend 30-year Treasuries
, zero coupon bonds, and bond futures, which will enjoy even more appreciation as rates fall.
eSpeed will remove Price Improvement in 30-year Treasuries
this week and will remove Price Improvement for all other U.
As for the bond market, prices plummeted further as the yield for 30-year Treasuries
jumped to 6.
in Milwaukee, was more optimistic, noting the gains in the bond market, where prices on 30-year Treasuries
rose more than $5 for each $1,000 invested and yields fell to 6.
This disparity between the cost of financing which is usually pegged to 30-year treasuries
, and the lease rent being paid by the tenant, offers an opportunity to negotiate a high return.