Bond Market Bubble - a podcast by Ted Sudol

from 2016-02-29T02:43:17

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Bond Market/h2> Bubble


In today's volatile stock market some people look to bonds as a safer alternative investment. But is it? Ted Sudol and Paul Mladjenovic, author of Stock Investing For Dummies discuss bond advantages and bond dangers. Because of the low interest rates some people are considering lesser quality bonds often referred to as "junk bonds." Often time that is an appropriate nickname. For any of you who saw the movie The Big Short you got a taste of what happens when underlying assets can's support the paper that supposedly represents them.


Bonds carry counter party risk. You are only holding a piece of paper. A claim on the underlying asset. What happens when that company, city government, state government, or even country government can't support the bonds they have issued. What happens when one of these organizations declares bankruptcy? 


We think it is a good investment strategy to diversify your investments and part of that diversification should be investments in precious metals. If you are investing in the physical precious metals like bullion, silver eagles, gold eagles, silver maple leaf bullion coins you are also diversifying yourself away from counter party risk.


Get your Free Precious Metals Investing buying guide. Go to www.preciousmetalsinvesting.com and enter your email address on the form. The guide is being extensively updated and you will receive your free copy automatically as soon as it is finished.


 


 


 

Further episodes of Precious Metals Investing

Further podcasts by Ted Sudol

Website of Ted Sudol