Posted by DigiNomad on 1st of Aug 2024 at 01:35 pm
IBTP - If you're looking for a more precise way than TLT (20
year treasury) to express your interest in participating on the
break in the TNX chart (10 year treasury yield), IBTP will get you
done. The duration is 9.64 years and the expense ratio is .07%.
I love these new set of bond funds because they HOLD TO
MATURITY. If you're used to traditional bond funds, let that
sink in for a minute. Total game changer. If none of this
makes sense, you might want to do some research before buying a
traditional bond fund or ETF.
*in other words, unlike trad bond funds that try to maintain
a duration (e.g. short, medium or long term bond fund), the
duration on this (and the others in the family) will slowly
decrease until 2034 when it will reset and start over at
10.
Posted by DigiNomad on 1st of Aug 2024 at 02:04 pm
You can look here but the actual bond ladder tool that I use to
look at duration, yield to maturity, etc, require you to login and
it requires you to be a financial professional (that might be a
self certifying type thing - not sure).
IBTP - If you're looking
Posted by DigiNomad on 1st of Aug 2024 at 01:35 pm
IBTP - If you're looking for a more precise way than TLT (20 year treasury) to express your interest in participating on the break in the TNX chart (10 year treasury yield), IBTP will get you done. The duration is 9.64 years and the expense ratio is .07%. I love these new set of bond funds because they HOLD TO MATURITY. If you're used to traditional bond funds, let that sink in for a minute. Total game changer. If none of this makes sense, you might want to do some research before buying a traditional bond fund or ETF.
*in other words, unlike trad bond funds that try to maintain a duration (e.g. short, medium or long term bond fund), the duration on this (and the others in the family) will slowly decrease until 2034 when it will reset and start over at 10.
That's very constructive information -
Posted by steve on 1st of Aug 2024 at 02:04 pm
That's very constructive information - thanks for sharing Digi.
Where can I find info
Posted by Silver on 1st of Aug 2024 at 02:00 pm
Where can I find info to help me understand more about IBTP?
You can look here but
Posted by DigiNomad on 1st of Aug 2024 at 02:04 pm
You can look here but the actual bond ladder tool that I use to look at duration, yield to maturity, etc, require you to login and it requires you to be a financial professional (that might be a self certifying type thing - not sure).
https://www.ishares.com/us/strategies/bond-etfs/build-better-bond-ladders
ishares.com
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