This one comes in from the folks at Investors Daily Edge, in an ad for a new service of theirs called The Bond Trader, run by a guy named Steve McDonald.
So you will not be shocked to hear that this teaser is about investing in debt, not in equity — lending your money to corporations, instead of becoming a part-owner of those same companies.
And it’s no shock that this service is being launched now, nor that it’s being advertised heavily. Investors are in a fully lathered panic about stocks right now, so the idea of something that is a “guaranteed” investment really catches our interest.
There are a few appealing things about bonds — they have set payouts, they are in the front of the line in bankruptcy and “rescue” proceedings, and they are not typically nearly as volatile … and they’re not talked about on CNBC or quoted in your newspaper, and many of them don’t even trade every day, so if you own bonds that are declining in value you won’t be reminded of that every time you look up from your sandwich. Read the rest of this entry »
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