Posted by DigiNomad on 24th of Feb 2023 at 01:20 pm
Treasuries - Anyone have a favorite expiry date for today? I'm
trying to get filled on Aug 03 expiration (4.3 ish yield) but no
luck so far. *yield estimate is annualized
Huh? Straight Treas. purchase? You should be able to get filled
on any expiry you want from your broker. Maybe I don't understand
your question, but I just roll out every 3 months to a higher
yield, no problem whenever I like.
Posted by DigiNomad on 24th of Feb 2023 at 01:25 pm
Brophy - yes, I'm trying to buy direct through IBKR. I do it all
the time these days (couldn't say the same 6 months ago) but I'm
not getting filled on this particular expiration / CUSIP.
So try a different expiration. What's a month or 2 difference?
With Treasuries over 4% approaching 5...you shouldn't have a
problem getting good rates, especially if you go out further a few
months. I'm into May Treasuries at 4.6% with E-trade and Corp Bonds
at 5%+ with IB. and you can probably get better rates than that. If
you are really having a problem, get a different broker. It really
should not be a prob. As I say, I roll over every 3 months to
higher rates. (So far) PS IB can be a pain in the ass sometimes.
But they do have the most extensive inventory. Which it is wise to
have several brokers. Fidelity, TD Ameritrade, Etrade all are easy
to use esp. for Treas.
Posted by DigiNomad on 24th of Feb 2023 at 02:26 pm
Thanks brophy. I'm really just trying to get smarter in
this area. I'm buying primarily for myself until I can actually
claim to be an expert on the execution side of things (I understand
the theoretical/academic side fine). That's why I asked if
anyone had a favorite expiration for TODAY and what yield they are
getting. The bid/ask shouldn't be must different between
various brokers...if it were they would get arbitraged....which
tells me I'm still missing something.
Based on comments earlier, I'm going to try buying on Tuesday
(auction on Monday but it appears that issue date is Tuesday?) and
see if I get a closer match between actual yield and advertised /
auction yield.
If you want to take a step up in your bond education look into
corporate bonds. With great companies, they are as safe as
Treasuries. Right now they pay only slightly better than
Treasuries. But someday when yields start dropping corporates will
remain elevated since they do not depend on interest rates. Message
me if you want some educa. links. Happy to help.
Look, there is no need to make this more complicated than it is.
And people love to do this. If we are talking about Treasuries why
do you need to worry about auctions or favorite auctions etc?
Decide 1. How far out do you want to go in expiry? 2. Look at what
that expiry is paying you to hold till expiry. 3. If satisfied with
that rate buy it. If not go out further. It really is no more
complicated than that. Keep it simple. Rates are the best we've had
in a lifetime. Take advantage of it.
Posted by DigiNomad on 24th of Feb 2023 at 03:17 pm
Brophy - to each his own (style). I was the annoying classmate
in b school that got pissed off beyond reason if I got an A- on a
test (it only happened once). I overthink a lot of stuff, but
I was also one of just a handful of people to pass the CFP exam in
my state for the cycle I sat for it. CFP led to RIA...no stopping
for series 65....so being anal does pay off sometimes. I also
consider it a necessary evil when I'm working with other people's'
money. Much different if it's simply your own capital and
retirement at risk.
OK last one, since I know the boys here are trading and don't
want to keep cluttering the board. Here's the E-trade Treas. order
screen. The farther out in maturity you go, the better your Yield
to Maturity. You decide. Just don't sell before expiry. Easy. You
hit buy, enter the # amount you want to purchase and done. Maybe
you need a new broker!
Posted by DigiNomad on 24th of Feb 2023 at 03:55 pm
Brophy, very helpful. Thanks! I clearly need to use another
brokerage account to do the research and then buy them through
IBKR. IBKR's platform is not nearly this user friendly...not even
close.
Or just buy them through another brokerage. Etrade, TD
Ameritrade, and Fidelity all are user-friendly. Open a small amount
first and compare. Have a good wknd!
Well, all I'm saying is that what Treas. to buy is the easiest
decision you can make. If I were you I'd put that anal attention
toward learning something with complexity that requires it. There
are plenty of things in the investment/trading world that does
require that kind of work. But good luck!
There’s also a secondary market which is actively traded if
you’ve got a broker who’s got access you can check those prices mid
week or almost any day I believe
The guy I work with just worked a 10 month maturity for over 5%
last week even their money markets are over 4% I’m not looking for
every basis point so it’s just an easy roll over for me every three
or six months
Treasuries - Anyone have a
Posted by DigiNomad on 24th of Feb 2023 at 01:20 pm
Treasuries - Anyone have a favorite expiry date for today? I'm trying to get filled on Aug 03 expiration (4.3 ish yield) but no luck so far. *yield estimate is annualized
Huh? Straight Treas. purchase? You
Posted by brophy on 24th of Feb 2023 at 01:23 pm
Huh? Straight Treas. purchase? You should be able to get filled on any expiry you want from your broker. Maybe I don't understand your question, but I just roll out every 3 months to a higher yield, no problem whenever I like.
Brophy - yes, I'm trying
Posted by DigiNomad on 24th of Feb 2023 at 01:25 pm
Brophy - yes, I'm trying to buy direct through IBKR. I do it all the time these days (couldn't say the same 6 months ago) but I'm not getting filled on this particular expiration / CUSIP.
So try a different expiration.
Posted by brophy on 24th of Feb 2023 at 02:18 pm
So try a different expiration. What's a month or 2 difference? With Treasuries over 4% approaching 5...you shouldn't have a problem getting good rates, especially if you go out further a few months. I'm into May Treasuries at 4.6% with E-trade and Corp Bonds at 5%+ with IB. and you can probably get better rates than that. If you are really having a problem, get a different broker. It really should not be a prob. As I say, I roll over every 3 months to higher rates. (So far) PS IB can be a pain in the ass sometimes. But they do have the most extensive inventory. Which it is wise to have several brokers. Fidelity, TD Ameritrade, Etrade all are easy to use esp. for Treas.
Thanks brophy. I'm really
Posted by DigiNomad on 24th of Feb 2023 at 02:26 pm
Thanks brophy. I'm really just trying to get smarter in this area. I'm buying primarily for myself until I can actually claim to be an expert on the execution side of things (I understand the theoretical/academic side fine). That's why I asked if anyone had a favorite expiration for TODAY and what yield they are getting. The bid/ask shouldn't be must different between various brokers...if it were they would get arbitraged....which tells me I'm still missing something.
Based on comments earlier, I'm going to try buying on Tuesday (auction on Monday but it appears that issue date is Tuesday?) and see if I get a closer match between actual yield and advertised / auction yield.
If you want to take
Posted by brophy on 24th of Feb 2023 at 03:15 pm
If you want to take a step up in your bond education look into corporate bonds. With great companies, they are as safe as Treasuries. Right now they pay only slightly better than Treasuries. But someday when yields start dropping corporates will remain elevated since they do not depend on interest rates. Message me if you want some educa. links. Happy to help.
Look, there is no need
Posted by brophy on 24th of Feb 2023 at 03:12 pm
Look, there is no need to make this more complicated than it is. And people love to do this. If we are talking about Treasuries why do you need to worry about auctions or favorite auctions etc? Decide 1. How far out do you want to go in expiry? 2. Look at what that expiry is paying you to hold till expiry. 3. If satisfied with that rate buy it. If not go out further. It really is no more complicated than that. Keep it simple. Rates are the best we've had in a lifetime. Take advantage of it.
Brophy - to each his
Posted by DigiNomad on 24th of Feb 2023 at 03:17 pm
Brophy - to each his own (style). I was the annoying classmate in b school that got pissed off beyond reason if I got an A- on a test (it only happened once). I overthink a lot of stuff, but I was also one of just a handful of people to pass the CFP exam in my state for the cycle I sat for it. CFP led to RIA...no stopping for series 65....so being anal does pay off sometimes. I also consider it a necessary evil when I'm working with other people's' money. Much different if it's simply your own capital and retirement at risk.
OK last one, since I
Posted by brophy on 24th of Feb 2023 at 03:50 pm
OK last one, since I know the boys here are trading and don't want to keep cluttering the board. Here's the E-trade Treas. order screen. The farther out in maturity you go, the better your Yield to Maturity. You decide. Just don't sell before expiry. Easy. You hit buy, enter the # amount you want to purchase and done. Maybe you need a new broker!
Brophy, very helpful. Thanks! I
Posted by DigiNomad on 24th of Feb 2023 at 03:55 pm
Brophy, very helpful. Thanks! I clearly need to use another brokerage account to do the research and then buy them through IBKR. IBKR's platform is not nearly this user friendly...not even close.
TDA has a great Treasury
Posted by rogerv on 24th of Feb 2023 at 04:05 pm
TDA has a great Treasury board.
Big inventory and easy to read.
Excellent!
Posted by brophy on 24th of Feb 2023 at 04:06 pm
Excellent!
Or just buy them through
Posted by brophy on 24th of Feb 2023 at 04:05 pm
Or just buy them through another brokerage. Etrade, TD Ameritrade, and Fidelity all are user-friendly. Open a small amount first and compare. Have a good wknd!
Well, all I'm saying is
Posted by brophy on 24th of Feb 2023 at 03:30 pm
Well, all I'm saying is that what Treas. to buy is the easiest decision you can make. If I were you I'd put that anal attention toward learning something with complexity that requires it. There are plenty of things in the investment/trading world that does require that kind of work. But good luck!
There’s also a secondary market
Posted by watcdy on 24th of Feb 2023 at 02:32 pm
There’s also a secondary market which is actively traded if you’ve got a broker who’s got access you can check those prices mid week or almost any day I believe
The guy I work with just worked a 10 month maturity for over 5% last week even their money markets are over 4% I’m not looking for every basis point so it’s just an easy roll over for me every three or six months
Agreed. There’s auction on Mondays.
Posted by watcdy on 24th of Feb 2023 at 01:25 pm
Agreed. There’s auction on Mondays. I’ve been splitting between 3 months and 6 months.