4 Comments

BUY SAFEWAY CORPORATE BONDS

September 10, 2014  Go to “Core Portfolio” for current holdings. 

Safeway, yeah the food store chain, is offering a corporate bond that is giving you just under 7%.  Keep in mind that each bond will cost you $1000.

I love corporate bonds and they have treated me really well.  Can you believe I have never lost money in corporates.  You need to keep these until they mature, and as usual, I suggest you buy small amounts.  This is a great yield on corporates.  Buy now.

Matures in 2027.  A reminder that you do NOT want to buy corporate bond funds.  DO buy individual corporate bonds.

Cusip 786514AS8

On a different note our high risk online gambling company AMYGF is doing very well.  It is already up four dollars since we bought it.  Quite frankly I am pleasantly surprised at the quick rise.  Keep this holding but always have a sell limit order in case it tanks…..which looks doubtful.  If you can handle the risk. you may want to buy more.

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4 comments on “BUY SAFEWAY CORPORATE BONDS

  1. I am checking out the details of this bond. There is a term which I do not understand “SR. UNSECD. CALL @ >OF PAR OR MAKE WHOLE +10BP. LONG 1ST CPN” and I got this from interactive brokers. Do you know what it is? I would be grateful if you could help, thanks in advance

    • The bond can be called at any time but they must pay you a premium at 10bp above the Treasury, in this case a ten year Treasury. IB could provide you a more detailed explanation.

      • The grocery business in the US is in turmoil right now due to Amazon takeover of Whole Foods: even tho we own this bond I would NOT recommend buying it right now.

  2. I am checking out the details of 786514AS8 and I got this note “SR. UNSECD. CALL @ >OF PAR OR MAKE WHOLE +10BP. LONG 1ST CPN” from Interactive Brokers. I do not understand what it is. I would be grateful if you could tell me what it is! Thanks in advance

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