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Hi sir catch22,, - It's just me but my retirement portfolio or someone else I help manage probably mixtures of bonds, individuals Corp bonds, tips, munis, etf and funds. Probably spread across the board semi-evenly
Moms-has MUNI, FBND, PTTSX, several private corps bonds, lsbrx, She still hold 40s%equities, she enjoyed these companies so I did sell them.
@_OldSkeet - hi sir. Have not thought about inflation too much. for my private portfolio most new monies-div montly been buying mostly equities, ~20s% to HY private bonds [like verizon, CIM, 88163VAD1, sprint bonds, Darden restaurants [237194AE5] for YTM >5.5%. Higher yield may offset inflation. Just have a short fuse of know when to sell and have your google.com/alerts on 'darden bankrup' and sell when you think bad things may happen. We held darden resturants [couple like redlobsters dont think will bankrup] 237194AE5 > 2.5 yrs and and love that bond, gave us 3 or 4k every time they have Divs 8.15 and 2/15 longhorn cheddars capital grill are some of favorite restaurants in Texas. Too bad they sold redlobsters divisions away
gap alcoa HP energy bonds couple of infrastructures /freeway systems in Dallas/Austin because we know those areas well
these are some of the bonds we hold
Plus we don't worry too much if market not doing too well, has good hedge w/ bonds and high-yield dividend stocks, preferred stocks
unless you are retired then place everything in bonds
The problem with putting 100% into “bonds” at retirement is that some of us may spend 30 or 40 years in retirement. Do you really want to settle for relatively low bond-like returns over all those years? The other problem with the statement is that “bond” can mean anything from “safe” U.S. Treasury bonds (yielding very little) to speculative C rated junk bonds having very high yields, high risk, and capital appreciation potential similar to that of equities.
Ol’Skeet is correct. I see inflation near everywhere I look. Don’t forget that higher taxes, government imposed fees, and tariffs on imports constitute a form of inflation - as well as the aggregate CPI items. For the life of me I don’t understand the low inflation figures the govt. reports. Just replaced the top boards on my deck with new treated 2x6s. Couldn’t believe the cost of materials alone. The original deck went on the house the first year I was retired. Grateful I wasn’t invested 100% in bonds over those 20 years as the price of lumber was doubling or tripling.
Best answer to those low govt. inflation figures is that technology has gotten cheaper. You can buy a 50”-60” color TV today for no more than a good 27” color set would have cost you 20-30 years ago. (But try munching on a TV for supper).
@hank : Did you happen to price out composite decking vs treated ? Composite has low maintenance.
Yes - My builder priced it. Cheap composite is competitive with wood on price, but not very attractive. The cost of top quality composite would have been about 3X more than treated lumber. The old surface was cedar. Climate (ice and snow) played a part in the issues that arose. Also, the great wood preservatives / finishes from years ago have been taken off the market due to health and environmental concerns.
"Cheap composite is competitive with wood on price, but not very attractive."
Our neighbor here in Guerneville replaced his original redwood deck with cheap(er) composite after some thirty years of wear. When the composite failed after some three years he then replaced it with redwood again. The composite manufacturer did recompense him to some extent for the failed product.
Comments
And why would one, in retirement; choose to do this? And what type of bonds? Active managed bond funds, or etf's or individual bonds?
Moms-has MUNI, FBND, PTTSX, several private corps bonds, lsbrx,
She still hold 40s%equities, she enjoyed these companies so I did sell them.
longhorn cheddars capital grill are some of favorite restaurants in Texas. Too bad they sold redlobsters divisions away
gap
alcoa
HP
energy bonds
couple of infrastructures /freeway systems in Dallas/Austin because we know those areas well
these are some of the bonds we hold
Plus we don't worry too much if market not doing too well, has good hedge w/ bonds and high-yield dividend stocks, preferred stocks
Ol’Skeet is correct. I see inflation near everywhere I look. Don’t forget that higher taxes, government imposed fees, and tariffs on imports constitute a form of inflation - as well as the aggregate CPI items. For the life of me I don’t understand the low inflation figures the govt. reports. Just replaced the top boards on my deck with new treated 2x6s. Couldn’t believe the cost of materials alone. The original deck went on the house the first year I was retired. Grateful I wasn’t invested 100% in bonds over those 20 years as the price of lumber was doubling or tripling.
Best answer to those low govt. inflation figures is that technology has gotten cheaper. You can buy a 50”-60” color TV today for no more than a good 27” color set would have cost you 20-30 years ago. (But try munching on a TV for supper).
Enjoy your deck, Derf
Our neighbor here in Guerneville replaced his original redwood deck with cheap(er) composite after some thirty years of wear. When the composite failed after some three years he then replaced it with redwood again. The composite manufacturer did recompense him to some extent for the failed product.