I don’t see this discussed a lot on the board and it is a remarkably effective way to deal with rising interest rates. If one fishes around on the page there is a good description of what happens to bonds as they go through their maturity cycle. You should understand it. Of particular note check out the 1965-80 stats.
https://www.crestmontresearch.com/docs/ ... adders.pdf
Bond Ladders
Moderator: Global Moderator
Re: Bond Ladders
Excellent content, it reminds us not to freak out... if the duration is centered around 10 years, pretty much not to worry. And it is if you have cash (0 duration) and 20 year Treasuries.
Re: Bond Ladders
I was going to ask if you could provide an update but I was pleased to see that when I clicked on the link the PDF had been updated all the way through 2019.Kbg wrote: ↑Sun Jan 21, 2018 9:17 am I don’t see this discussed a lot on the board and it is a remarkably effective way to deal with rising interest rates. If one fishes around on the page there is a good description of what happens to bonds as they go through their maturity cycle. You should understand it. Of particular note check out the 1965-80 stats.
https://www.crestmontresearch.com/docs/ ... adders.pdf
Vinny
Above provided by: Vinny, who always says: "I only regret that I have but one lap to give to my cats." AND "I'm a more-is-more person."
Re: Bond Ladders
Studying the pink and green is very worthwhile...