Leave a comment

OIL AND GOLD MOVING……..FINALLY

OIL AND GOLD MOVING……..FINALLY

(August 28, 2015)

The government came in on Monday and saved the collapsing stock market by throwing truckloads of cash to the banks.

They also manipulated the GDP higher to make everyone feel good.  So the markets have been going up all week.

BUT nothing has changed.  The economy sucks as we have been telling you forever.  Something like 93 MILLION people are not working.  There is NO stimulus to move the markets higher…..NONE.  SO, we feel the stock market will gradually decline over the next several months pending some new QE program or some other magical catalyst that we do not foresee.

If you own stocks, be sure and have sell stops in place in case this thing collapses.

We own gold and energy positions in the Core Portfolio.  They have started an upward trend the last few days and maybe, just maybe, we have a bottom in place.  If you do not own any of these, you should start buying.

Hooray for Trump.  We are so glad that somebody is starting to talk about the horrendous debt load that the US carries.  Maybe the big Donald can start to raise awareness among the American people:  nobody else is.  The current corrupt Socialist Administration has done nothing for almost eight years and radical change is needed.

The “death cross” pattern is spreading fast through the stock market like a bearish virus.

On Friday, the S&P 500 index SPX, +0.06% became the latest victim. The broad-market barometer’s 50-day moving average fell to 2,074.42, according to FactSet, to cross below the 200-day moving average, which slipped to 2,075.39.

The S&P 500’s last death cross appeared on Aug. 12, 2011. It bottomed about six weeks later after falling a further 6.3%. The opposite bullish crossover, known as a “golden cross,” appeared 5 1/2 months later.

  Go To Core Portfolio Click HereWant to send comments? Go here.

BUYING WELLS FARGO CORPORATE BONDS

(Wednesday August 26, 2015)

We have been purchasing Corporate Bonds from Celgene and Aflac.  Today we suggest you look at Wells Fargo bonds paying 3.52%.  They mature in February 2023.  We are actively searching for conservative good quality investments with five to ten year time frames.  Unless Wells Fargo goes bankrupt, highly unlikely, you will get a nice income stream for the next eight years.  Go to Core Portfolio to see all current holdings.

Long term—– meaning over the next six months, we see declines in the stock market.  There is talk of a new Quantitative Easing program which would probably prevent declines, but we do not see the Fed implementing yet another QE program. 

We have been actively selling positions.  We are still looking at SH which is an inverse etf, basically ‘shorting the market.

CUSIP for Wells Fargo bond:  94974BPJ4

PRH is a baby-bond from Prudential.  This is an excellent holding and try to get it under $25.00.

We sold DSL and reduced PFLT.

From investyourself.com:

Barring any new lunacy from the Fed’s such as QE 4, 5, 6 etc, Barring any push to shove money out of helicopters, the top is in.  But here’s the catch. Even if they do QE4, and 5, and push money out of helicopters… it won’t last. Yes we might hit a new high for a bit, but it too will fail.  ALL ponzi’s fail folks. This one too.

LOL

 “That explains why there’s so much amazing support for Trump,” added Lessig. “Americans are willing to put up with his outrageous views because they look at this guy and say, Holy crap. Here it is. A politician not beholden to these crony funders. That’s the gift.”

__________

MARKET WEAK–WE ARE SELLING INTO THIS RALLY

(Tuesday August 25:  Selling SDIV and EXG.  We are in preservation mode.  See Core Portfolio.  The market will probably drop DOWN to retest the Monday lows.  We continue holding the bonds and debt issues found in the Core Portfolio.)

Follow this link to a “must read” article:

http://www.mcoscillator.com/learning_center/weekly_chart/eurodollar_cot_says_ugly_drop_is_still_ahead_of_us/

(Saturday August 22, 2015)

NEWS!!!!   We suggest you subscribe to this.

The Prudent Speculator, a 38-year-old value investing newsletter, is happy to announce the launch of its new complimentary newsletter subscription! This will be a condensed version of the current paid newsletter and will be sent via e-mail once a month.

The paid version of The Prudent Speculator began in 1977 and is the #1 ranked, not adjusted for risk, investment newsletter for the past 20, 25 and 30 years according to The Hulbert Financial Digest*. 

https://theprudentspeculator.com/tps-newsletter/?inf_contact_key=21d66b5865798d6fd0c2b9d37ddccca5a39749939d4e3df644b954f24d9c2292

We may see a rally next week (head-fake) and you should think about selling any individual stocks that you still own….if and when we see a potential rally.

We have been telling you to place stops that would get you out before we saw the big declines this week.

In the long term view, it is very possible we will see further movement downward in the next few months…this is a slow process so nothing will happen overnite.  If it appears that we will have a complete breakdown, SH is a good inverse etf that rises as the market declines.

We are in conservation mode:  preserving the money that you have NOW.  We are evaluating the bond and debt issues in the Core Portfolio and we may want to sell specific positions depending on what the technical indicators tell us going forward.

People are tossing out the baby with the bath water and even good investments can tumble in sympathy with big market moves.

Having lived through prior crashes, we can tell you about the mental horror that you go through in losing large amounts of money.  It is far better to take losses and save what you have.

  Go To Core Portfolio Click HereWant to send comments? Go here.

__________

(Friday August 21, 2015) 

Image result for celgene

Celgene Corporation is a bio company that is primarily engaged in the discovery, development and commercialization of innovative therapies designed to treat cancer and immune-inflammatory related diseases in patients with limited treatment options.  We suggest you look at their Corporate Bonds maturing in 2022 and paying 3.5%.  This is a nice yield that beats the alternatives out there.  The Celgene bonds are a good quality, NOT a junk bond.

CUSIP 151020AH7

The big players in the stock market will try and stabilize stocks today.  But there is a high probability that we will see further downside long term…….for months.  This market is in trouble.

Trump news:  So for the near future at least, Rasmussen Reports intends to track Trump’s race for the White House in a weekly Friday feature we’re calling Trump Change.

Our latest national telephone survey finds that 57% of Likely Republican Voters now think Trump is likely to be the Republican presidential nominee next year, with 25% who say it’s Very Likely. That compares to 27% who felt a Trump nomination was likely two months ago when he formally announced his presidential bid, a finding that included just nine percent (9%) who said it was Very Likely.

cartoonf082115

(Thursday August 20:  Investors are running scared and buying gold.  We have owned GGN and you should look at owning gold miners or gold.

Today we are buying an individual corporate bond from AFLAC.  Everyone is familiar with AFLAC from the television commercials.  They are an insurer with most of their business in Japan.  The bond pays 3.4% which is pretty good.  The bond matures in June 2023 and we like the short maturities.

CUSIP 001055AL6

It is SO important that you understand this:  from streettalklive.com

The Fed is slowly coming to realize that “forward guidance”, “QE” and artificially suppressing interest rates does indeed boost asset prices and creates a burgeoning “wealth gap.” However, since those programs only affect the top 20% of the population that actually has money to invest, it does little to create real prosperity across the broad economy.

Go to Core Portfolio for all current positions.

(Tuesday August 18:  The stock market has been flat-lining sideways for six months.  That alone should tell you that there are problems.  There is no impetus to move the market up.  And if the Fed decides to raise rates (which we believe would be a very stupid move) the markets will most likely decline.  So we continue to advise putting in sell stops on individual stocks and etf’s that will get you out if we see significant declines.  It is our OPINION that we are setting up for a correction–keep in mind this blog is not involved in trading stocks but we keep giving you our perspective.  We did buy PG a while back and got out at a small profit.  We were going to fiddle with Wal Mart but they took a hit yesterday so that would have been a mistake.  And to make matters worse China has been roiling the markets.  (We hear that 13 of the DOW 30 have already corrected 10% down.)

IF ANYTHING you should start looking looking at the inverse etf SH which would go up IF the market tanks.  We would NOT buy SH right now but keep it on the radar if you want to get into shorting the market.

As far as the bonds and debt issues that we hold in the Core Portfolio we are holding, for now.

We are not buying or selling anything but we are inclined to sell some positions.  At this point we are far more concerned about CONSERVING our money and NOT taking risk in trying to reach for yield.)

This is an amazing admission:

The Federal Reserve is putting some of its post-crisis actions under a magnifying glass and not liking everything it sees.

In a white paper dissecting the U.S. central bank’s actions to stem the financial crisis in 2008 and 2009, Stephen D. Williamson, vice president of the St. Louis Fed, finds fault with three key policy tenets.

Specifically, he believes the zero interest rates in place since 2008 that were designed to spark good inflation actually have resulted in just the opposite. And he believes the “forward guidance” the Fed has used to communicate its intentions has instead been a muddle of broken vows that has served only to confuse investors. Finally, he asserts that quantitative easing, or the monthly debt purchases that swelled the central bank’s balance sheet past the $4.5 trillion mark, have at best a tenuous link to actual economic improvements.

Williamson is quick to acknowledge that then-Chairman Ben Bernanke‘s Fed, through liquidity programs like the Term Auction Facility that injected cash into banks, “helped to assure that the Fed’s Great Depression errors were not repeated.”

  Go To Core Portfolio Click HereWant to send comments? Go here.

(Thursday August 13:  We are in the very, very, very early stages of a market crash.  People are finally starting to realize that our economy is crap, something we have been telling you for many many months.  Investors are starting to get very nervous and that is why they are herding into gold.  We continue holding GGN, our gold position, in the Core Portfolio.

It now appears there will be NO Fed rate hike in September–but they are pretty stupid so you never know.  Unless we see yet another QE stimulus program to prop up the markets, highly unlikely, we feel stock investors will be hurt badly probably next year.

Just last week we anticipated a rate hike but with this China mess, things changed again.  What a fiasco.

The “big boys” are selling stocks and you may want to do the same, or at least put in sell stops.

Here is another item that has everyone concerned:

On Tuesday the 50-day simple moving average for the Dow Jones Industrial Index moved below the 200-day simple moving average. This so-called “death cross” is among the most bearish market signals.

Funny Quote:  I sold all my China, Im eating off paper plates.)

From zerohedge.com Wow this is bad

Just as we warned earlier – and Goldman subsequently confirmed – the Q2 “stack’em-high” surge in inventories (which has juiced hype hope that America is back, baby!) has consequences. The Atlanta Fed just released its latest forecast for Q3 GDP growth, lowering it to just 0.7%, citing an inventory drag of -2.2 percentage points. The Fed estimate is now 75% below the street’s consensus!!

Embedded image permalink

(Monday August 10.  It is sounding like the Fed is bound and determined (really………. this time) to increase their overnite rate in September.  This would not be good for the stock market.  As we have repeatedly said, you should be raising cash OR at least have sell stops in place for your stock holdings. 

When you own stocks that pay 2 or 3% in yield but they decline 5 or 10% in value, you LOSE.  Don’t get caught in that mind-set.  Significant declines in stock prices will really hurt your long-term goals.

We are NOT stock traders but we do hold many income positions such as corporate bonds and exchange traded debt.  We continue holding all income investments that are listed in the Core Portfolio.  You do NOT want to be buying any annuities, utilities, preferred stocks. REITs, muni bonds.)

SP500-Technical-080715-2

(August 7.  Did Trump jump the shark last nite?

We have been telling you for weeks that you should have sell stops in place for any stocks that you are holding.  You could spend 24 hours a day on the net reading articles about this awful economy.  And yet the Fed morons are talking about raising rates.  This situation in the financial markets is unreal………………………… 

Unless you are a buy and hold investor AND think everything will turn out fine, you should be raising cash…quickly.

More from the Web:  “As noted earlier in the week, state and local taxes have soared 75%. While this would be no big deal if wages and salaries had risen by 75% in the same time frame, but earnings have barely kept pace with inflation (38% since 2000).”

(August 4.  Wow isn’t it amazing how Trump is taking the country by storm.

If you are a short term or day trader, you can make money in these weird markets.  But you damn well better have experience and know what ur doing.  This blog is not into short term stock trading….it’s just too much work and so time consuming.

We have been buying some short term Corporate Bonds for the personal accounts, but have not suggested anything in the Core Portfolio.  There is just simply nothing in the dividend arena that looks good especially in this weak market.  We are holding positions and collecting dividends.

Even stock leaders like Apple and Facebook are weak.  We still expect a five to ten percent correction in the total stock market SPY…..sell stops should be in place so that you get out automatically if we see declines.

From investyourself.com

In other words the market isn’t near all-time highs because of the fundamentals of so many great stocks. It’s there from derivatives, QE programs, buy backs, accounting gimmicks, etc.

GO here for helpful Links. If you find our stuff useful, please hit the LIKE button below!

  Go To Core Portfolio Click HereWant to send comments? Go here.

(August 3:  The financial situation is getting more serious by the day.  We have three options:

There is no catalyst to drive markets higher.

If the Fed morons raise rates, the consolidation we have seen for months MAY morph into:

the third option which is going from a weakening trend into………..a major correction.

Big institutions are selling stocks on large volumes.  You need to take precautionary measures by either selling stock positions or placing sell stops.

Big investors are fleeing stocks.

In a note Tuesday, Jill Carey Hall at Bank of America Merrill Lynch (BAML) wrote that the clients’ net sales of US stocks amounted to $4.1 billion last week, the largest total since January 2008.

(August 1:  Stocks continue in this consolidation phase and nobody can tell you if it will break out to the Upside or Downside….but it will eventually.  We have been suggesting that you place sell stops for stocks in case the market collapses.  Goldman Sachs, Apple, Facebook and IBM are some of the big stocks that will continue downward so beware if you own these.  We are smack dab in the middle of the “sell in may and go away period”.

We continue holding the corporate, short term and specialty bonds, and exchange traded debt.)

GO here for helpful Links. If you find our stuff useful, please hit the LIKE button below!

  Go To Core Portfolio Click HereWant to send comments? Go here.

(July 31:  Capital preservation is paramount here.  We have been in a consolidation for almost five months and there is NO evident event that will drive markets HIGHER and break out of this stagnant market.  We still suggest you place sell stops that will get you out of your positions if the markets tank.  We sold PG a few weeks ago at a small profit and yesterday it bombed:  just another indication of what can go wrong is this environment.  We are not saying you should sell right (unless you have obvious losers) now but do place stops.  We ARE selling positions in our personal accounts in an effort to preserve the portfolio…also see Core Portfolio for changes.

(July 30.  If the idiots at the Fed raise rates, we are going to see declines.  It’s time to fine tune portfolios and GET OUT of positions that are not working.  If you do not want to sell right now have stops in that will get you out.  Raising cash is probably the prudent thing to do in this weak market.  Biotechs are weak, sell.  If this market crashes you may want to use SH to short the market….we suggest you get familiar with this easy way to short using an ETF.

Recession????

Skousen-Index-051115

President Trump??

The Reuters/Ipsos poll found 25 per cent of GOP voters want to elect a President Trump, resulting in a double-digit advantage over his nearest rival Jeb Bush 

The former Florida governor trails with 12 per cent.

(July 29.  We got a bounce yesterday but the underlying foundation of the market is weak.  They are trying to drive the market higher today, but you should anticipate further downward action…….it makes sense to have sell stops in place on stocks.  We are still holding all debt and bond issues in the Core Portfolio.)

For the first time this year, Donald Trump tops a state poll of GOP presidential candidates in Florida.

A St. Pete Polls survey released on Wednesday shows the New York businessman with 26 percent support, with Jeb Bush in second place with 20 percent.

__________

At first glance, the statement did not appear menacing. I was told I could expect to receive a benefit of “about $2,136 a month” upon reaching age 70 — which certainly seems like good news. But immediately I thought of a parallel of President Obama’s infamous Obamacare promise: “If you like your Social Security, you can keep your Social Security.” ADVERTISEMENT Then, as if on cue, I saw an asterisk with the following message: The law governing benefit amounts may change because, by 2033, the payroll taxes collected will be enough to pay only about 77 percent of scheduled benefits.

Read more at: http://www.nationalreview.com/article/421790/social-security-bankruptcy-statement-baby-boomers

(July 28.  From economiccollapse.com: .…….. you can see that the U.S. national debt was sitting at about 9 trillion dollars when we entered the last recession.  Since that time, the debt of the federal government has doubled.  We are on the exact same path that Greece has gone down, and what you are looking at below is a recipe for national economic suicide… (July 27 Update:  What  A MESS:

“Demand for automobile debt in the U.S. is enabling lenders to make longer loans to people with spotty credit, stoking concern that car shoppers are being lulled into debt loads they won’t be able to sustain. Of the subprime vehicle loans bundled into securities, 73 percent now exceed five years, up from 64 percent during the first three months of 2014, according to data from Citigroup Inc. Loans as long as seven years are increasingly being put into more bonds as auto-finance companies and Wall Street banks sell the securities at the fastest pace since 2007.”

(Saturday Update)  Technical indicators are telling us that stocks are headed DOWN…at least for the short term.  We do not foresee what could change this trend.  Many large Companies are showing significant downtrends:  IBM, Intel, many others.  We have suggested stop loss orders to get you out of stocks if the situation gets worse……….we would not be shocked to see another five or ten percent decline. The ‘sell in May and go away’ axiom would have been good advice this year.

We are still holding all the bond positions in the Core Portfolio as we do NOT see significant rate increases which would hurt bonds.  We are also holding the floating rate positions and the other positions that we have listed.)

(Friday Update:  We suggest placing sell stops on all stock holdings.  You will get out if this stock market tanks. The S&P has dived below the 50 day moving average and we suggest CAUTION.  Interest rates will probably come down so we are holding all bonds.) hussmanfunds.com A progressive internal deterioration of the market has been increasingly evident in recent months, and became severe last week. For example, the chart below compares the S&P 500 Index to the same 500 component stocks, but weighted equally rather than by market capitalization. While the difference may not seem significant, it also implies that even an equally-weighted portfolio of S&P 500 stocks, hedged with the S&P 500 index itself, would have lost several percent since mid-April. “It wasn’t raining when Noah built the ark.” – Howard Ruff “You have to think anyway, so why not think big?”  Donald Trump (Thursday Update:  We suggest raising cash, even if you have to sell losing positions.  (We are not selling the bonds and debt issues—rates will probably come down.)  It appears they are driving up the banks which drives up the market…..which would allow the big boys to SELL…this is not good.  Cynical but that’s what it looks like.  So we could see a big pull back.  Core Portfolio.  PFLT and BKLN are a Buy. July 21, 2015  EXG and TOTL are positions in the Core Portfolio.  We are suggesting you ADD to your existing position.  You can click on the symbol to see the original recommendations.  The yield on TOTL is quite small and would be a good place for cash that you want to start working for you.  The 3% yield is certainly better than a CD or Treasury Bill. The first rule in this game is NOT to lose money. The economic numbers coming in are very BAD.  A major pullback may be hitting us in the next month. With that in mind we are reducing allocations (by 50%) in numerous positions with the exception of the Corporate bonds and exchange traded funds and bond funds.  (We are not expecting an interest rate hike.)  We are indicating REDUCE positions on the Core Portfolio page. The dividends that we have received will reduce the pain, but we are still taking losses. The markets ‘want’ to go down.  If you have big winners, you should think about placing sell stop orders that will get you out if this market tanks.

__________

From marketwatch.com.  Maybe gold has finally hit bottom:  we certainly hope so. The world’s top money managers have hated gold bullion for almost as long as anyone’s been asking them. But not anymore. With China wobbling, Europe in turmoil and the price of bullion down to multi-year lows, the long-running gold skeptics running the world’s biggest investment funds have suddenly and dramatically turned on to its appeal. “Gold is undervalued” at around $1,155 an ounce, say a small majority of managers, according to the latest Bank of America Merrill Lynch survey. Bulls outnumber bears by only 1 percentage point, but the improvement shows an astonishing change from the most recent past, when the gold skeptics formed a clear majority. The survey is significant. Bank of America Merrill Lynch spoke to around 150 top investment honchos around the world who manage about $400 billion in assets

Leave a comment

STAY ALERT

July 17, 2015  Recent economic numbers SUKK.  GDP, retail sales, industrial production are lousy.  You wouldn’t know it listening to this corrupt administration.

Companies are buying back their own shares which reduces the float and makes their earnings look BETTER.  More manipulation and the market has been heading higher recently.

BE ALERT.  This market has been in consolidation for months.  It will either break up big or break down big.

Don’t get caught with your pants down.  We will give you our thoughts as we proceed.  But that is only our opinion….and our crystal ball is often wrong.  Just be prepared to sell.

On interest rates:  We feel there is no way that the Fed can increase their overnight rates with the way this economy is operating.  How the hell can you see a growing economy with millions of people out of work and collecting money from the government.  So we continue holding interest rate sensitive positions in the Core Portfolio.

Yesterday we mentioned Marilyn Cohen, a bond guru that we follow.  She is giving a speech tomorrow and you can watch online.  Go to this link:

http://www.sanfranciscomoneyshow.com/expert-details.asp?speakerid=638SPK

GO here for helpful Links. If you find our stuff useful, please hit the LIKE button below!

  Go To Core Portfolio Click HereWant to send comments? Go here.

__________

New business CLOSURES are HIGHER than new business startups.  And we are being told everything is looking great.  LOLOL

Birth-Death-Firms-011514

Leave a comment

FREE E-BOOKLET ON BONDS. IF UR A NERD FOR BONDS, READ IT.

July 16, 2015  An excellent article on the rise of Trump…….yeah you know who I’m talking about: http://www.politico.com/magazine/story/2015/07/the-appeal-of-donald-trump-120162.html?ml=m_t1_2h#.Vaf82rVcLh5

 __________

You just have to laugh at those moronic 2016 Republican Presidential candidates.

Hillary, will get the women and black voters. Republicans will lose the gay and Mexican/Latino blocks. Republicans lose all the West  and East Coast Ultra Liberals Republicans will lose the lower income groups as they demand their entitlements (from the Democrats):  free money, food stamps, free phones, subsidized health care. The Republicans Got Nothing.

Forecast:  Democrats win by a landslide.

__________

The Little Bond eBooklet I have been following Marilyn Cohen, a bond guru, for more years than I care to mention.  She is an expert in the field of bonds and I have obtained my bond education from her books, speeches, and online postings.  Marilyn has posted a FREE mini eBook talking about municipal and corporate bonds.  If you R interested here is the link: https://www.smashwords.com/books/view/531948

GO here for helpful Links. If you find our stuff useful, please hit the LIKE button below!

  Go To Core Portfolio Click HereWant to send comments? Go here.

Leave a comment

LETS GO SHOPPING FOR QVC BONDS. NICE YIELD!!! QUALITY BONDS.

(Update:  We are taking a serious look at Wal Mart to buy long.)

July 13, 2015.  Well….who doesn’t know QVC.  If you have cable TV you more than likely have watched the chatty hosts hawk everything under the sun including dresses, jewelry, computers, widgets, doo-dads……you name it.  With numerous TV and online shopping channels offering low prices and free shipping, it’s no wonder that retail stores are closing right and left. We can earn some decent yield by buying into this shopping sector.  QVC is offering a Corporate Bond with a 4.99%  yield.  That is really nice in this low interest environment. The bond matures in 2024.  You should be able to get pricing for two bonds.  I would not buy much more. You should plan on holding to maturity BUT they can be called at any time.

CUSIP  747262AS2

QVC is an American cable, satellite and broadcast television network, and multinational corporation specializing in televised home shopping that is owned by Liberty Interactive.  They reach 235 million households. Image result for qvc

__________

GO here for helpful Links. If you find our stuff useful, please hit the LIKE button below!

  Go To Core Portfolio Click HereWant to send comments? Go here.

We are taking extreme pain in our pipeline energy positions but we continue to hold:  Here is a link to a good article discussing the current situation: http://seekingalpha.com/article/3310575-why-low-crude-oil-prices-are-good-for-u-s-pipeline-investors

__________

Do you like this blog….please take our ten second POLL..CLICK HERE

__________

We are NOT buying preferreds, REITS, municipal bonds, utilities, annuities.

__________

Next President or …crash and burn????????????????

Leave a comment

PRH IS A GREAT BUY. 5.7%

The liberal press just does not understand how pissed off the American people are with this corrupt government:

Donald Trump’s position on immigration does not seem to be hurting the real-estate developer’s standing in the Republican presidential primary.

Two new polls have him in first place among registered Republican voters.

(Update July 9.  The markets are breaking down and the sentiment indicators indicate a continued DOWNWARD trend.  Greece and China are really affecting the markets but should be resolved.

We still feel this is a correction and not a complete collapse.  We suggest HOLDING all positions.  But having said that if we see a total breakdown there is no other option than to sell positions……but again we do not expect that.  Most of our Core Portfolio positions are bond and bond like holdings with some floating rate funds thrown in……….that should hold up.  The energy related holdings are getting hit hard but we knew they could be volatile,…they are oversold and it is prudent to hold on for the dividends.)

July 6, 2015  Exactly one year ago we bought PRH.  The copy is pasted below.

PRH has dropped recently but is making a turn-around.  BUY……. or you can add to existing positions.

_____

Buy at $24.75 and under $25.00

Prudential Financial 5.7% Junior Subordinated Notes PRH is debt that trades on the stock exchange.  It trades like a stock.  The income is distributed quarterly.

PRH gives provides you a good investment at low risk which is why you are seeing a somewhat low yield BUT its certainly better than a CD or Treasury.  PRH can be called in 2018 at $25.00 which is HIGHER than what you are going to pay…what a great deal.

I really like Exchange Traded Debt and have had good luck over the years.

Can you believe this number:  $747 Billion in assets.  Wow.  Prudential Financial, Inc. is an insurance and investment management organization headquartered in Newark, New Jersey. As of March 31, 2014, the company had total assets of $747 billion and total shareholders’ equity of $39 billion.

Bottom Line:  Unless Prudential goes belly up which is most unlikely you have very little risk and a pretty good yield.  We also hold VZA and JMPC which are debt issues, in the Core Portfolio.

__________

GO here for helpful Links. If you find our stuff useful, please hit the LIKE button below!

  Go To Core Portfolio Click HereWant to send comments? Go here.

The monthly manipulated jobs report was released last week.   The stated 5.3% unemployment rate is pure fiction.

First, the previous two months were revised Lower by 60,000 jobs.  Wow that’s good news isn’t it.

Lousy Part-Time jobs increased by 161,000 while Full-Time jobs DECREASED by 350,000.  That’s really good news isn’t it.

Even worse, 640,000 people are no longer counted as part of the work force……going on disability, food stamps, not looking for work.  More good news isn’t it.

Bottom line, more and more people are going on government doles and getting free money (that’s what Obamaliar wants) which means they are out of the work force and NOT COUNTED, WHICH MEANS the unemployment rate looks better than it really is.  Sounds bizarre doesn’t it. 

The government says the not looking for work crowd does not exist, so we do not need to count them!!!!!

I feel like I’m in the Colosseum where the government tries to divert our attention from the bad economy……watching the man eating tigers…….while Rome burns.

Image result for rome colosseum

  __________

Since 2007:  1.4 Million Manufacturers Lost and 1.4 Million Waiters Gained.  Wow what a strong economy LOLOL

Leave a comment

OBAMALIAR. OBAMACARE. SOCIALISM.

June 29, 2015  We now know that this administration lied about ObamaCare.  Specifically insurance premiums are going UP.  But the Supreme Court has again ruled in support of Obamacare and for all intents this will be a permanent fixture as America goes down the path of socialism.  Americans are now demanding more and more entitlements which explains why the ultra liberal socialist Bernie Sanders is so popular…free money….free education….free goodies from your friendly government.  Hell, what’s not to like.

So why are we bringing up Obamacare?

When Obamacare was originally passed, we should have been smart enough to get into the healthcare stocks/ETF’s.  Quite simply we did not see the investing opportunity.  Sometimes you can’t see the forest for the trees.  Now it’s too late to get in.

But we are not going to sit around and cry in our soup.  There are some interesting buys in the healthcare Individual Corporate Bond market.  But before we get into that please read the following:

This was a point made by Stephanie Pomboy in an article entitled “What To Expect In The Q2 GDP Number” by Elizabeth MacDonald.

“Spending on healthcare (insurance and services) has increased $232 billion over the last twelve months. That increase accounts for a big ‘two-thirds’ of the $353 billion in consumer spending and one-third of the $666 billion growth in total GDP over the stretch.

And wage gains are being wiped out by rising health costs. ‘The increase in healthcare outlays over the last year is roughly equal to the $284 billion in wage gains for households during that time.'”

A little more background before we go further.  With a few exceptions, we recommend investors invest only in Individual Corporate Bonds, NOT bond funds.  Here is a good overview of this market from http://www.StreetTalkLive.com

“The rise and fall of interest rates are only of concern if you own bond funds or bond related ETF’s. 

Bond funds and bond related ETF’s (exchange traded funds) ARE NOT BONDS. Funds and ETF’s are a BET on the DIRECTION of interest rates just as stocks are a bet on the direction of the market. There is no return of principal function for bond funds or bond related ETF’s and, therefore, they must be managed in a portfolio just as you would manage a stock position.

However, the rise and fall of interest rates is of very little concern in a portfolio of individual bonds that are being held until maturity. The only time the level of interest rates becomes of concern is when a bond owner wishes to liquidate a bond position due to changes in the borrower’s fundamentals, credit worthiness or the bond owner needs to raise liquidity.”

So as mentioned earlier we looked at some INDIVIDUAL CORPORATE bonds from healthcare companies.  Here are some investments that you may find suitable.  Hold to maturity.

HCA 2023 4.4% Cusip 404121AF2

HCP 2025 4.27% Cusip 40414LAM1

GO here for helpful Links. If you find our stuff useful, please hit the LIKE button below!

  Go To Core Portfolio Click HereWant to send comments? Go here.

 

Leave a comment

BUY ENERGY TRANSFER BONDS–IF YOU CAN PLEASE DONATE TO AIR SHEPERD SEE BELOW

June 25, 2015  As a reminder to our newer readers, we own every position in the Core Portfolio.  It is not a fantasy portfolio.  It is real.  We are in the game with anyone that follows the recommendations.  Having said that, here is a new suggestion:

Energy Transfer, the folks that are trying to buy WMB (which we sold last week) is selling a Corporate Bond that offers 4.77% and matures in 2025.  When buying INDIVIDUAL Corporates you want quality companies and Energy Transfer fits the bill.  The price yesterday was $94.41…this is a super good price.  So a bond will cost you approx. $940 each.  You should plan on holding this to maturity.

CUSIP 29273RBD0

__________
GO here for helpful Links. If you find our stuff useful, please hit the LIKE button below!

  Go To Core Portfolio Click HereWant to send comments? Go here.

__________

Image result for air shepherd

http://airshepherd.org/

There appears to be a way to stop elephant and rhino poaching.  Please visit their site and donate if you can.

__________

Via Judicial Watch,

Federal Bureau of Investigation (FBI) files obtained by Judicial Watch reveal that the dad, maternal grandpa and father-in-law of President Obama’s trusted senior advisor, Valerie Jarrett, were hardcore Communists under investigation by the U.S. government.

Jarrett’s dad, pathologist and geneticist Dr. James Bowman, had extensive ties to Communist associations and individuals, his lengthy FBI file shows. In 1950 Bowman was in communication with a paid Soviet agent named Alfred Stern, who fled to Prague after getting charged with espionage. Bowman was also a member of a Communist-sympathizing group called the Association of Internes and Medical Students. After his discharge from the Army Medical Corps in 1955, Bowman moved to Iran to work, the FBI records show.

According to Bowman’s government file the Association of Internes and Medical Students is an organization that “has long been a faithful follower of the Communist Party line” and engages in un-American activities. Bowman was born in Washington D.C. and had deep ties to Chicago, where he often collaborated with fellow Communists. JW also obtained documents on Bowman from the U.S. Office of Personnel Management (OPM) showing that the FBI was brought into investigate him for his membership in a group that “follows the communist party line.” The Jarrett family Communist ties also include a business partnership between Jarrett’s maternal grandpa, Robert Rochon Taylor, and Stern, the Soviet agent associated with her dad.

Jarrett’s father-in-law, Vernon Jarrett, was also another big-time Chicago Communist, according to separate FBI files obtained by JW as part of a probe into the Jarrett family’s Communist ties. For a period of time Vernon Jarrett appeared on the FBI’s Security Index and was considered a potential Communist saboteur who was to be arrested in the event of a conflict with the Union of Soviet Socialist Republics (USSR). His FBI file reveals that he was assigned to write propaganda for a Communist Party front group in Chicago that would “disseminate the Communist Party line among…the middle class.”

It’s been well documented that Valerie Jarrett, a Chicago lawyer and longtime Obama confidant, is a liberal extremist who wields tremendous power in the White House. Faithful to her roots, she still has connections to many Communist and extremist groups, including the Muslim Brotherhood. Jarrett and her family also had strong ties to Frank Marshal Davis, a big Obama mentor and Communist Party member with an extensive FBI file.

JW has exposed Valerie Jarrett’s many transgressions over the years, including her role in covering up a scandalous gun-running operation carried out by the Department of Justice (DOJ). Last fall JW obtained public records that show Jarrett was a key player in the effort to cover up that Attorney General Eric Holder lied to Congress about the Fast and Furious, a disastrous experiment in which the Bureau of Alcohol, Tobacco Firearms and Explosives (ATF) allowed guns from the U.S. to be smuggled into Mexico so they could eventually be traced to drug cartels. Instead, federal law enforcement officers lost track of hundreds of weapons which have been used in an unknown number of crimes, including the murder of a U.S. Border Patrol agent in Arizona.

In 2008 JW got documents linking Valerie Jarrett, who also served as co-chairman of Obama’s presidential transition team, to a series of real estate scandals, including several housing projects operated by convicted felon and Obama fundraiser/friend Antoin “Tony” Rezko. According to the documents obtained from the Illinois Secretary of State, Valerie Jarrett served as a board member for several organizations that provided funding and support for Chicago slum projects operated by Rezko.

Follow

Get every new post delivered to your Inbox.

Join 35 other followers

%d bloggers like this: