Localfund.com - All about Fund and Investment
*Home>>>Bond Investment

Corporate bonds yielding 6 to 8%?


Please give me some suggestions on some investment grade bonds that yield to maturity (5 to 10 years) 6 to 8% with reasonable risk?

Investment grade bonds are yielding around 4.5 to 4.7% for 5 to 10 year maturities. Junk is yielding about 8%.
For current yield and safety, you can not beat t-bills at the moment. Current yield 5% and untaxed by state and local governments. There are closed end debt funds that currently yield that return but their expense ratios are too high for them to be recommended investment vehicles. And all of the high yielding closed end funds are selling at healthy premiums to net assets.

Investment grade bonds (A) do not yield that much now. Need to go to equities or foeign bonds or high yield (low-rated) bonds to make that much. Avoiding risk costs you & often is dead-wrong. A nice Reit like SNH can do that % in total return most yrs.

Now a days corporate bonds are not give much profit. Mutual fonds is more better than bonds.

Tags
  Business Investment   Business financing   Business Invest   Business Debt   Bond Investment   Angel Funds   Alternative Investment
Related information
  • Can any one help me?

    mm.. I'm seeing it more like at 5.35% now ...

  • Q on Finanical ?

    E for sure. Bs phrasing not 100% certain

    ...
  • Bonds question?

    I assume this is a question on a test. If so, the answer is undoubtedly: statements a and b are correct. The problem with statement b is in the word "highly". "Junk bond" ...

  • Tricky math question!!please help:)?

    Assuming "interest" on mutual funds is equal to dividends in the problem; Givens: $33250 = .05s + .07m + .15b b=3(s) .15b=.07m simultaneous equasions: $33...

  • Banking math question help!?

    savings = $83,695 bonds = $251,085 mutual funds = $46,497 Set savings =s, bonds = b, and mutual funds = m. Now create formulas using the information given: b=3s .05s + .09m + .12b = $38,500...

  • What are the advantages to buying bonds instead of CDs?

    Bonds give higher interest rates compared to short-term investments; plus municipal bonds are tax free, which may be the biggest benefit when compared to CDs. CDs have the highest earnings potenti...

  • Question regarding EE Bonds?

    To answer your first question on the paper bonds they will be guaranteed to be at face value at year 20. If you buy a $100 bond at $50, then by year 20 it will be worth at least $100, thus double....

  • What do you feel are advantages and disadvantages of investments?

    1. Fixed amount of income each year and your capital back at a fixed date. So, security, certainty. 2. Short maturity, so appropriate when you know you'll want the money back or don't ...

  •  

    Categories--Copyright/IP Policy--Contact Webmaster