Buying newer bonds

Discussion of the Bond portion of the Permanent Portfolio

Moderator: Global Moderator

Post Reply
D

Buying newer bonds

Post by D »

If one is not required to pay tax on capital gains or the interest, does it make sense selling 28.5 years bonds with 3.75 coupon and buying 30 years bonds with 3.125?
User avatar
MediumTex
Administrator
Administrator
Posts: 9096
Joined: Sun Apr 25, 2010 11:47 pm
Contact:

Re: Buying newer bonds

Post by MediumTex »

No, that doesn't make sense.

You are getting basically the same bond when you look at the pricing between these two bonds.
Q: “Do you have funny shaped balloons?”
A: “Not unless round is funny.”
Post Reply