Investors Are Flocking to Bonds. Bond Pro Warren Pierson Explains the Lure

[@jerrycampbell-ut9yf]

It is a government inspired crisis this time. The Treasury have to sell Bonds to cover the trade imbalance and the government spending imbalance. In order to sell them they have to raise interest rates and the old long-term, low risk, low interest, AAA investments (including Treasury Bonds), held by the banks (often due to government regulatory policy), become next to worthless. The next milestone is the 15th when the government issue a new batch of Bonds. I have approximately 350k stagnant in my portfolio that needs growth. What is the best way to take advantage of this downturn?

[@Peterl4290]

Every day we have a new problem. It's the new normal. At first we thought it was a crisis, now we know it's a new normal and we have to adapt. this year will be a year of severe economic pain all over the nation

[@larrypaul-cw9nk]

,,,,,,,Yes, absolutely! I work with one because of this. My $520k portfolio has increased by 85% since the beginning of the year and is well-matched for each market season. For this year, my adviser and I are working on more figures. After physicians, financial counsellors are, in my opinion, the most in-demand professionals.

[@sabastinenoah]

This is definitely considerable! think you could suggest any professional/advisors i can get on the phone with? I'm in dire need of proper portfolio allocation.

[@larrypaul-cw9nk]

Her name is Annette Christine Conte can't divulge much. Most likely, the internet should have her basic info, you can research if you like

[@sabastinenoah]

Thank you for this Pointer. It was easy to find your handler, She seems very proficient and flexible. I booked a call session with her.

[@KanteMballa]

I can't believe this is the end of year already and I have investment goals I haven't achieved yet. I hear people talk about a bull run in the financial market and I just recently sold a home. Do you suggest I utilize a financial advisor on bonds to buy, or can I do it on my own?

[@SherifatJiron]

I’m not in a position to offer financial advice, but given the significant amount of capital you're working with, it would be wise to consult a financial advisor who can guide you in developing a strategy tailored to your goals and risk tolerance.

[@NolbiaStillman]

For you to grow your portfolio in today's market, you really need to be coachable and willing to get off your high horses. I for example, have managed to grow mine from $150k to 300% of my initial deposit within the past 13 months just by copying trades from a broker that has better skillset and technical know-how than me.

[@JavieIonescu]

Thanks for sharing your experience! I’ve been managing my portfolio myself, but it’s not working out. Do you have any recommendations for a good investment advisor? I could really use some help.

[@NolbiaStillman]

Just gotta give props to Ralph Anthony D'auge, my CFA, he is the real deal in the finance game. Dive into his background, this man is a treasure trove of experience and knowledge for anyone navigating the financial jungle.

[@NiketDarcy]

He appears to be well-educated and well-informed. I ran an online search on his name and came across his website; thank you for sharing.

[@sco0tpa]

Informative questions from the interviewer and clear answers from the interviewee. Thanks for the content.

[@agentcontrast9784]

Why does no one consider post tax yields when determining real yield

[@sco0tpa]

Most people do consider post tax yield. It's a real thing that investors have been considering for longer than I've been alive. They also consider nominal vs real yield.

[@mysticaltyger2009]

If it's in a retirement account, it doesn't matter.

[@VicoYuni]

As an investment enthusiast, I often wonder how top-level investors are able to become millionaires through investing. I have a significant amount of capital to start with, but I'm unsure about the strategies and direct I should take to help me generate substantial profits like some people are this season.

[@AmeenJohani]

I’m not in a position to offer financial advice, but given the significant amount of capital you're working with, it would be wise to consult a financial advisor who can guide you in developing a strategy tailored to your goals and risk tolerance.

[@JasvirAher]

Factos!!. After experiencing a major portfolio loss in 2020 amid the COVID pandemic while trying to manage my investments on my own, I reached out to an investment advisor. They helped me turn my $420k into a seven-figure portfolio by providing the guidance and strategy I needed. Having that expertise made a significant difference in my investment journey.

[@AmeenJohani]

Thanks for sharing your experience! I’ve been managing my portfolio myself, but it’s not working out. Do you have any recommendations for a good investment advisor? I could really use some help

[@ChiharuBulquerin]

Ralph Anthony D’auge a highly respected figure in her field. I suggest delving deeper into her credentials, as she possesses extensive experience and serves as a valuable resource for individuals seeking guidance in navigating the financial market.

[@AmeenJohani]

Thank you so much for the suggestion! I really needed it. I looked her up on Google and explored her website; she has an impressive background in investments. I've sent her an email, and I hope to hear back from her soon!

[@mcmxli-by1tj]

The Fed says lower rates are OK. The market says lower rates are too low because they don't anticipate inflation. Result: the market calls the direction. That's why bond prices are declining. Cash outperforms bonds under these circumstances.

[@RobertLupo]

Of course bonds are selling, who wouldn't want that juicy 1.3% gain over the past 10 years in BND

[@wernerfoerster3666]

so what to do with cash?

[@payroll970]

Index funds get the average. Half active get worse, half get better. Add in fees about 80% get worse. A lot more get worse if you take the long term approach.

[@timothythompson4036]

The good thing about bond funds is that they are much less volatile than stocks. During severe stock market downturns like 2022, they help offset risk.

[@selma5885]

Would have liked to heard more about municipal bonds/tax free, insured?

[@mysticaltyger2009]

*to have heard

[@cheninblanc8208]

if the economy is so good, why are all central banks lowering rates and Buffett is raising a 300.B cash reserve ?? 🤨

[@sco0tpa]

Because inflation is low and Buffet has his own personal reasons. It's not easy to invest $300B especially if you want to find a bargain in this excellent market that is relatively picked over and high priced. Maybe he's waiting for the economy to get bad so he can buy a bargain, but that could be years off. Buffet is patient.

[@lawrencefeldman462]

Warren Buffett is selling off stock. Why it's at a all time high. He's a value investor. No value in bubble stock market. Building cash and is cash in short term Bonds.

[@TheMurrblake]

Cause he’s about to croak.

[@srercrcr]

Study who became millionaires in the Great Depression.....

[@wernerfoerster3666]

bad comments

[@dassa0069]

I am looking for a Swiss Bond Fund?

[@Kin-28-8]

I was advised to diversify my portfolio among several assets such as stocks and bonds since this can protect my portfolio for retirement. I'm seeking to invest $200K across markets but don't know where to start.

[@Lewistonwilliams-f5i]

the strategies are quite rigorous for the regular-Joe. As a matter of fact, they are mostly successfully carried out by pros who have had a great deal of skillset/knowledge to pull such trades off.

[@BridgetMiller-]

Even with the right strategies and appropriate assets, investment returns can differ among investors. Recognizing the vital role of experience in investment success is crucial. Personally, I understood this significance and sought guidance from a market analyst, significantly growing my account to nearly a million. Strategically withdrawing profits just before the market correction, I'm now seizing buying opportunities once again.

[@Theodorebarba]

impressive gains! how can I get your advisor please, if you don’t mind me asking? I could really use a help as of now

[@BridgetMiller-]

Certainly, I am still working with Stacy Lynn Staples. Having her in my corner has been a game-changer for my financial well-being. Her ability to simplify complex financial concepts and provide tailored solutions is commendable. Stacy's passion for her work shines through, making the financial planning process not only effective but also enjoyable.

[@Agatha.wayne0]

Thank you for this Pointer. It was easy to find your handler, She seems very proficient and flexible. I booked a call session with her.

[@miken7629]

So many people bought bond funds when interest rates were low not understanding they were buying a future loss. When rates went down there were bonds in funds with market values of 160% when payoff was 100%, they overpaid for bond fund, they bought that future loss.

[@rjf9418]

Question? If I buy a gov bond say 5 year at 5% and it go's down next week do I still get 5% going forward? Or if the value of the bond go's up do I still get 5%? How does that work? Thank you

[@wernerfoerster3666]

locked in ...

[@mysticaltyger2009]

*goes down

[@wernerfoerster3666]

Ok. You are mixing questions. The 5% is locked in. The value of the bond is a different story.

[@George-f8h]

Two things are at work separately: 1. You will receive 5% interest based on the face value of the bond, regardless of what happens to interest rates in the market. This is because the coupon rate is fixed. 2. The price of your bond can go up or down depending on changes in interest rates. If interest rates rise, the bond price typically falls; if interest rates fall, the bond price generally rises. However, these price changes do not affect the interest payments you receive.

[@rjf9418]

@@George-f8h So if bond price go's down I still get 5% but of the lower face value of the bond and same if the price go's up.? Or does the 5% stay at the face value I paid for the bond like a CD?

[@royrob8983]

Tough to be in bonds. Yields on long dated treasuries went up 30 bp

[@karltitz1725]

WOW A 22% uptake on the most recent sale and this guy is promoting them. Seems like trouble ahead unless we address gov debt.

[@dassa0069]

The developing currency crisis will render efforts redundant.

[@lynnjohnson5511]

I recently got out of the bond market because I’m tired of losing money! If u had billions of dollars in cash and invested in tbills would u like yields going up or down?

[@lawrencefeldman462]

Bonds are the best opportunity in a overwhelming expensive stock market. 5%. Bond value is great 👍. Pull 4% out in IRA a year and you have a wonderful investment. No brainer . .stock crash you have possibly no return.

[@jeffreygoss8109]

But if inflation continues to crest that rate you are still losing purchasing power

[@srercrcr]

You forgot bank CDs.....insured!

[@88888gerald]

why bonds are suddenly a great investment....by the guy who wrote the article about how bonds were doing....

[@sivi9741]

Fair but what level you would consider bonds a good buy then ? 6-7% ?

[@BTCforce]

MSTR bonds are awesome, 99.99% of other bonds have negative real returns or risk 2 high or ethically an abomination. 60/40 is dead. Dump your bonds and buy something the governments can’t print

[@adamwilliams2936]

It's hard to watch guests that obviously have a self interest motivation on the subject matter. Thanks but no thanks.

[@lilmeers2424]

Are you kidding? He doesn’t have self interest motivation as you state. He actually manages a well diversified bond portfolio for his clients. It is literally what he does and does it well. His advice his useful for DIY investors such as myself. Your comments are inconsiderate and incorrect

[@wernerfoerster3666]

@@lilmeers2424 so you just admitted the point of the original post

[@petevon1]

Horrible outlook for bonds given the horrible outlook Federal Reserve debt, unfunded liabilities, and interest rates. Surefire way to lose purchasing power.

[@rof8200]

Buy bonds wear garbage bags

[@donniemoder1466]

This guy's voice tone is so bonds. Bonds etfs seem to be too risky, they are going to dive with stocks and don't provide stability.

[@geraldf.1222]

Buffett taking gains and WAITING for a CRASH?

[@BTCforce]

Buffet is losing purchasing power by the minute

[@srercrcr]

He studied the Depression experience.

[@wernerfoerster3666]

@@BTCforce lol... your name says it all

[@George-f8h]

@@BTCforce Bitcoin is unpredictable in its price movement in a downturn or recession. Its price could fall (or rise) along with the stock market. Therefore, it shouldn't be compared to gold as a hedge.

[@sivi9741]

Réal rates are positive . How is buffet losing purchasing power 🍿.

[@michaelfelli7661]

In 2022, stocks "and" bonds fell. Now, in 2024, stocks "and" bonds are rising. How is this possible? Liquidity. In 2025 and 2026, stocks "and" bonds will collapse. 60/40 and "buy and hold" is dead. Accept it.

[@toinengwyn3935]

What did you mean bonds are rising in 2024? They are still closer to their lows than they are to their highs. If they were to collapse further, then the economy would be heating up and so would stocks.

[@brucehazen8982]

😁 What's your alternative? LOL

[@blackfiree91]

Get REAL. Nobody is flocking to bonds. Bonds are dying.

[@toinengwyn3935]

The bond market is several times the size of the real estate market. If yields are historically low despite record corporate and government debt, it means that somebody is indeed buying bonds.

[@blackfiree91]

@ only someone that cannot buy bitcoin would want bonds. Bonds are dead paper. Gold is dying. Everything is going to 0 against bitcoin

[@toinengwyn3935]

@@blackfiree91 The market cap of BTC is just under $2T. The market cap of the global bond market is over $140T. Governments and corporations depend on the bond market, not BTC, for funding.

[@toinengwyn3935]

The market cap of BTC is under $2T. The market cap of bonds is over $140T. One is used by governments and global corporations, and the other is not

[@brucehazen8982]

Bitcoin and gold both operate on the "greater fool theory". At least gold is something you could hold in your hand; bitcoin just a huge waste of electricity fuelling obscure number crunching. A kind of modern tulipmania.

[@mysticaltyger2009]

Please downvote the spammers, everyone!

[@AndrewRod-c5v]

Bonds do not keep with inflation very bad advice ! You get ni upside growth from bonds !

[@toinengwyn3935]

The bond market is several times bigger than the stock market is.

[@brucehazen8982]

That's not the purpose of bonds.

[@sco0tpa]

I remember when I knew everything about investing like OP. Ah the good Ole days. Every stock investment went up and bonds were boring.

[@AmeriGlobal]

You won't like stocks if they stumble badly. Valuations are insane.

[@George-f8h]

The purpose of bonds is preservation or safety, not growth. People who buy them want to protect their wealth. If you are retired or near retirement, you can't risk losing 35% of your hard-earned wealth in a bear market on any given year. Which is worse? -35% return on $100k invested in stocks or 2% guaranteed return on $100k T-bill?