How many double cheese burgers will your investment buy you from the $35.99 Mc Donald's value menu in 10-30 years?
How many double cheese burgers will your investment buy you from the $35.99 Mc Donald's value menu in 10-30 years?
Good question.Originally Posted by Lafayette
UN Agenda 21 Explained
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Robert Downey Jr will learn you how to pimp. If you ever need to know.
How the GOP stole the nomination
My Advice For RPF
Y'all must consider me really dumb. My entire 401k has been in a long-term treasury fund for over a year now.
Being dumb, I only got 30% return on my whole pot in the last 12 months.
Maybe if I hang around I'll learn something.
When the stock market corrects by a few thousand points some time in the next year or two, and gold is down, I'll really need some help understanding why I should abandon my booming treasuries.
Last edited by smhbbag; 04-10-2012 at 02:36 AM.
Rights come from responsibilities. A right is what you need to discharge your obligations.
We should never talk about rights apart from responsibilities, for rights have no other source..
Don't worry, it'll get confiscated. Hopefully you'll learn then.
UN Agenda 21 Explained
The Single Most Important Documentary I've Ever Found
Robert Downey Jr will learn you how to pimp. If you ever need to know.
How the GOP stole the nomination
My Advice For RPF
Buying Treasuries is a vote of confidence in the Federal Reserve and PPT. Buying gold is a vote of no confidence.
Foreign investment into Treasuries is disappearing:
http://www.zerohedge.com/news/china-...gs-50-one-year
The Fed is picking up the slack:http://online.wsj.com/article/SB1000...googlenews_wsjIn 2011, the Fed purchased a stunning 61% of Treasury issuance. ...
Bill Gross is dumping Treasuries in favor of mortgage bonds.
http://finance.yahoo.com/blogs/daily...115229488.html
http://www.investmentnews.com/articl...FREE/120319999
Treasuries are "earning" a negative real rate of interest:
http://www.zerohedge.com/news/guest-...ritical-metric
older: http://gata.org/node/10899
Caveat emptor.
I compiled a "brief" history of events since October 2008 that are defining the global currency war and the role that gold is playing:
Tin Foil Hats, Economic Reality and the Total Perspective Vortex
Also, have you contacted your Congressional Rep and asked them co-sponsor Ron Paul's HR 1098: Free Competition in Currencies Act?
It's one thing to use UST as a short-term trading vehicle, but don't be a fool - there is a real risk of getting stuck with them while the value they represent is devalued out from under you.
PMs of course are a hedge against that risk. Unfortunately PM markets are also jacked to all hell with leveraged speculation, nothing in this market is clean anymore.
“If ye love wealth greater than liberty, the tranquility of servitude greater than the animating contest for freedom, go home from us in peace. We seek not your counsel, nor your arms. Crouch down and lick the hand that feeds you; May your chains set lightly upon you, and may posterity forget that ye were our countrymen.”
- SAMUEL ADAMS
Lol. Anyone who knows anything about investing knows that is bull***. And he's a professor? Rofl.
"If you study science deep enough and long enough, it will force you to believe in God." ~Lord Kelvin
They are a low-risk investment. You never get good returns on something that has very low risk. High risk, high reward. Government bonds have a higher chance of not beating inflation over time, whereas Fortune 500 companies have higher chances of getting good returns over time. If low-risk automatically means it's a good investment, then by all means, but don't expect to make much off of it. I've had a bond in for over 10 years and it's not even halfway matured.
However, if you invest in small business or big companies, you have a much higher chance of good returns, and as long as you diversify your portfolio, you should be able to eliminate most of the risk associated with those types of investments. Treasury bonds are just becoming more and more worthless as an investment.
"If you study science deep enough and long enough, it will force you to believe in God." ~Lord Kelvin
I remember my ECON professor gave me (literally gave me) Atlas Shrugged, saying, "I ordered this and I don't want to read it. You can have it."
She went to MIT.
My advice would be to just do your work and ignore your professors stupid ass advice. Don't fight w/ your professor, won't get you anywhere.
There isn't any reason to debate them in class because the market will prove us correct, everytime.
You 1 v Professor 0
"I am, therefore I'll think" - Ayn Rand
The real value in treasuries is not their yield but their resale value. They are speculative instruments because they are the primary means in which the Fed inserts reserves into the banking system. If you suspect that the demand for reserves will go up in the banking system you buy t-bills...even if they yield a pathetic 2% interest for a 10 year maturity. Why...because you know however overpriced they are now (and they are big time...we have a bubble) they can become even more overpriced through increased open market transactions.
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