Comments on: “Bulletproof your Portfolio”

By: Ellen

Ellen — Mon, 29 Sep 2008 10:20:50 +0000

I am once again very grateful to you for your honesty in telling it like it is and keeping me from getting into potentially high danger zones!

By: richard0826

richard0826 — Sat, 27 Sep 2008 00:00:11 +0000

Thank you Travis. Keep it up; I have learned so much from your comments and your articles. G’day!

By: StockGumshoe

StockGumshoe — Fri, 26 Sep 2008 15:48:03 +0000

Yikes — National City is riding the express elevator down this morning in sympathy with WaMu, though their bonds aren’t moving as fast. Some GM debt is trading at less than 50 cents on the dollar, GMAC debt that’s due over the next few years generally is much higher rated but still has some bonds with very high yields. GM exchange traded debt, by the way, is still getting clobbered. Many of the notes, which were offered at 7.5% interest rates with a principal of $25, are now trading for a fraction of that.

Just FYI (these are all for debt maturities of 25 years+):

GMAC exchange traded debt, originally a $25 principal, now trades for about $9 with a yield of about 20%. Ticker GKM.

GM Exchange traded debt, also originally $25, is now priced around $8 and yielding about 22%. Ticker GMS.

GM Convertible debt trades around $12-13, with a yield of about 9% and the promise that if GM stock recovers mightily, you might benefit.

All of these issues are down dramatically from where they were a year or two ago, and they are also not alone, there are a dozen more exchange traded bonds for GM and GMAC, with different terms and different positions in the seniority of GM debt.

By: William H

William H — Fri, 26 Sep 2008 15:46:08 +0000

Interesting, but I’m not particularly interested in bonds and seem somewhat justified by this article.

But for those who receive the free emails from Gumshoe, he links to a horror story about our government, politicians, and “home ownership” (unless it’s paid in full, you don’t own it) that is much like something Steven King might write if this were his field. Follow the link in the email and read it for yourself. Prepare to be severely depressed after having done so. Thanks for the heads up, Travis.

By: Linda Schmidt

Linda Schmidt — Fri, 26 Sep 2008 15:35:55 +0000

You provide an education, help others make informed decisions. Thank you so much.