Page 1 of 2 12 LastLast
Results 1 to 15 of 17

Thread: municipal bonds

  1. #1
    Speechless
    Points: 270,185, Level: 100
    Level completed: 0%, Points required for next Level: 0
    Overall activity: 0%
    Achievements:
    Veteran50000 Experience Points
    isuno1fan's Avatar
    Join Date
    Mar 2006
    Location
    Clive, Iowa
    Posts
    17,495
    Points
    270,185
    Level
    100
    Thumbs Up
    Received: 119
    Given: 28

    municipal bonds

    For those of you that own muni's are you selling or hanging on for the long run?

    Just curious...I have 6 of them that are all about 6yrs old that don't mature for another 12-15yrs. Of course 4 are from Ill and 2 from Cal....probably the two worst states to hold bonds in...LOL.

    Haven't decided myself what I'm going to do. Hard to believe the Feds will let mass defaults happen, but who knows??



  2. #2
    Legend
    Points: 206,560, Level: 100
    Level completed: 0%, Points required for next Level: 0
    Overall activity: 17.0%
    Achievements:
    SocialCreated Album picturesVeteran50000 Experience Points
    dmclone's Avatar
    Join Date
    Oct 2006
    Location
    50131
    Posts
    13,478
    Points
    206,560
    Level
    100
    Thumbs Up
    Received: 271
    Given: 372

    Re: municipal bonds

    Have you been watching 60 minutes?



  3. #3
    Swarm & Punish
    Points: 286,968, Level: 100
    Level completed: 0%, Points required for next Level: 0
    Overall activity: 23.0%
    Achievements:
    SocialVeteranCreated Album pictures50000 Experience Points
    keepngoal's Avatar
    Join Date
    Jun 2006
    Posts
    19,785
    Points
    286,968
    Level
    100
    Thumbs Up
    Received: 419
    Given: 800

    Re: municipal bonds

    someone just finished watching 60 minutes.

    -keep


    The first and best victory is to conquer self; to be conquered by self is of all things most shameful and vile. - Plato

    May you only need 39 acres to turn your rig around. - keep

  4. #4
    Speechless
    Points: 433,221, Level: 100
    Level completed: 0%, Points required for next Level: 0
    Overall activity: 3.0%
    Achievements:
    SocialRecommendation Second ClassVeteranCreated Album pictures50000 Experience Points

    Join Date
    Nov 2007
    Location
    Ames
    Posts
    23,880
    Points
    433,221
    Level
    100
    Thumbs Up
    Received: 155
    Given: 24

    Re: municipal bonds

    Ahhh yes...December 19th, 2010...the day isuno1fan asked what people were doing with their muni bonds.



  5. #5
    Starter
    Points: 17,204, Level: 39
    Level completed: 95%, Points required for next Level: 46
    Overall activity: 7.0%
    Achievements:
    Veteran10000 Experience Points

    Join Date
    Jun 2007
    Posts
    712
    Points
    17,204
    Level
    39
    Thumbs Up
    Received: 23
    Given: 40

    Re: municipal bonds

    Quote Originally Posted by IcSyU View Post
    Ahhh yes...December 19th, 2010...the day isuno1fan asked what people were doing with their muni bonds.
    It was a Sunday. Well played.



  6. #6
    Speechless
    Points: 270,185, Level: 100
    Level completed: 0%, Points required for next Level: 0
    Overall activity: 0%
    Achievements:
    Veteran50000 Experience Points
    isuno1fan's Avatar
    Join Date
    Mar 2006
    Location
    Clive, Iowa
    Posts
    17,495
    Points
    270,185
    Level
    100
    Thumbs Up
    Received: 119
    Given: 28

    Re: municipal bonds

    You bet...60 mins got me with the scare tactics. What say you?



  7. #7
    All-Star
    Points: 16,471, Level: 39
    Level completed: 3%, Points required for next Level: 779
    Overall activity: 1.0%
    Achievements:
    Veteran10000 Experience Points
    cdekovic's Avatar
    Join Date
    Mar 2006
    Location
    Ames
    Posts
    1,016
    Points
    16,471
    Level
    39
    Thumbs Up
    Received: 4
    Given: 1

    Re: municipal bonds

    Why would you have munis anyway? Are you in that high of a tax bracket? Retiring soon?


    Hit it hard, every yard

  8. #8
    Hall-Of-Famer
    Points: 52,854, Level: 71
    Level completed: 21%, Points required for next Level: 1,196
    Overall activity: 0%
    Achievements:
    Veteran50000 Experience Points
    usedcarguy's Avatar
    Join Date
    Apr 2008
    Location
    Ames
    Posts
    3,692
    Points
    52,854
    Level
    71
    Thumbs Up
    Received: 19
    Given: 43

    Re: municipal bonds

    I watched the segment as well. My take on government bonds is that there is a lot of economic value in the ability to tax, so with governments having that ability, their situations aren't as dire as they seem. That doesn't mean that they aren't going to get hammered in the marketplace, or that there won't be people who don't get their money when promised, but imo all will at some point be made whole. Of course there's a lot more economic value to owning a press that prints money, but that's another story...


    Walking on water is easy. Just do it in December when it's frozen.

  9. #9
    Addict
    Points: 143,582, Level: 100
    Level completed: 0%, Points required for next Level: 0
    Overall activity: 12.0%
    Achievements:
    Veteran50000 Experience Points

    Join Date
    Apr 2006
    Posts
    7,778
    Points
    143,582
    Level
    100
    Thumbs Up
    Received: 152
    Given: 225

    Re: municipal bonds

    Quote Originally Posted by isuno1fan View Post
    For those of you that own muni's are you selling or hanging on for the long run?

    Just curious...I have 6 of them that are all about 6yrs old that don't mature for another 12-15yrs. Of course 4 are from Ill and 2 from Cal....probably the two worst states to hold bonds in...LOL.

    Haven't decided myself what I'm going to do. Hard to believe the Feds will let mass defaults happen, but who knows??
    This is like asking: hey you going to keep your car since GM sucks donkey ****?

    Issuer, reason for purchasing, source of rev etc are much more important question.

    **** 60 minutes. You better have purchased for a reason not because you saw it on a show.

    jmb

    p.s. i have specifically spelled out all words and the filter didn't catch.


    Last edited by C.John; 12-19-2010 at 09:50 PM.
    As far as depth goes though, the combination of White, Woodbury, Olaseni, Basabe, and Uthoff is much better than Niang, Ejim, Edozie, Gibson. Not because of the top 2, but because of the next 2 or 3. -DeanVogs

  10. #10
    Speechless
    Points: 270,185, Level: 100
    Level completed: 0%, Points required for next Level: 0
    Overall activity: 0%
    Achievements:
    Veteran50000 Experience Points
    isuno1fan's Avatar
    Join Date
    Mar 2006
    Location
    Clive, Iowa
    Posts
    17,495
    Points
    270,185
    Level
    100
    Thumbs Up
    Received: 119
    Given: 28

    Re: municipal bonds

    Quote Originally Posted by cdekovic View Post
    Why would you have munis anyway? Are you in that high of a tax bracket? Retiring soon?

    I bought 6, $25k muni bonds that mature when my daughter is 18-23. Liked the idea of using them to pay for her college (also have a 529).



  11. #11
    Addict
    Points: 86,763, Level: 91
    Level completed: 64%, Points required for next Level: 687
    Overall activity: 4.0%
    Achievements:
    SocialVeteran50000 Experience Points

    Join Date
    Apr 2006
    Location
    Hudson, Iowa
    Posts
    8,107
    Points
    86,763
    Level
    91
    Thumbs Up
    Received: 36
    Given: 49

    Re: municipal bonds

    I think it's a poor time to own bonds. Interest rates only really have one way to go which is up and that is not good for bonds.



  12. #12
    All-Star
    Points: 20,394, Level: 43
    Level completed: 61%, Points required for next Level: 356
    Overall activity: 0%
    Achievements:
    SocialVeteran10000 Experience Points

    Join Date
    May 2006
    Location
    Milwaukee, WI
    Posts
    1,074
    Points
    20,394
    Level
    43
    Thumbs Up
    Received: 3
    Given: 0

    Re: municipal bonds

    What's the ytm and coupon? Also, what types of munis are these? Did you lend to a far flung ex-burb in the Inland Empire of Cali to build roads/schools?

    Depending on the above, I'd hold to maturity since you'll get par back (barring a total collapse). If you were to sell right now you'd probably get whacked on the price and no individuals out there will produce anywhere near the same yield if you were to reinvest in bonds. The alternative is to move to equities which may be a good move if you diversify appropriately.



  13. #13
    Speechless
    Points: 270,185, Level: 100
    Level completed: 0%, Points required for next Level: 0
    Overall activity: 0%
    Achievements:
    Veteran50000 Experience Points
    isuno1fan's Avatar
    Join Date
    Mar 2006
    Location
    Clive, Iowa
    Posts
    17,495
    Points
    270,185
    Level
    100
    Thumbs Up
    Received: 119
    Given: 28

    Re: municipal bonds

    Quote Originally Posted by delt4cy View Post
    What's the ytm and coupon? Also, what types of munis are these? Did you lend to a far flung ex-burb in the Inland Empire of Cali to build roads/schools?

    Depending on the above, I'd hold to maturity since you'll get par back (barring a total collapse). If you were to sell right now you'd probably get whacked on the price and no individuals out there will produce anywhere near the same yield if you were to reinvest in bonds. The alternative is to move to equities which may be a good move if you diversify appropriately.

    Bonds were purchased 6yrs ago...no way in heck I would buy them now. I've owned them for some time.

    Here is a list of the bonds I own:

    CORONA-NORCO CALIF UNI SCH DIST G/O SER C ZERO CPN
    MC HENRY & KANE CNTYS ILL CMNTY CONS SCH G/O ZERO CPN
    COOK CNTY ILL G/O SCH DIST#159ZERO CPN C/A
    KANE MC HENRY COOK & DE KALB CNTYS ILL CAP APPREC
    MADISON & JERSEY CNTYS ILL CMNTY UNIT
    SANTA MONICA-MALIBU UNI SCH DIST CALIF G/O ZERO CPN C/A

    3 are 15k maturity and 3 are 20k maturity. They mature between 2019 and 2023 respectively. Once again, the thought was as my child is in college, one or more of these would mature during that timeframe to help pay for the education (along with the 529 fund).

    Probably going to just hold them as they would be tough to sell right now as mentioned. Won't make or break me by any means if they default, but never like seeing that kind of cash go by the wayside.



  14. #14
    Addict
    Points: 66,701, Level: 80
    Level completed: 16%, Points required for next Level: 1,349
    Overall activity: 4.0%
    Achievements:
    Veteran50000 Experience Points
    erikbj's Avatar
    Join Date
    Aug 2006
    Location
    hiawatha, ia
    Posts
    5,239
    Points
    66,701
    Level
    80
    Thumbs Up
    Received: 183
    Given: 50

    Re: municipal bonds

    Quote Originally Posted by isuno1fan View Post
    Bonds were purchased 6yrs ago...no way in heck I would buy them now. I've owned them for some time.

    Here is a list of the bonds I own:

    CORONA-NORCO CALIF UNI SCH DIST G/O SER C ZERO CPN
    MC HENRY & KANE CNTYS ILL CMNTY CONS SCH G/O ZERO CPN
    COOK CNTY ILL G/O SCH DIST#159ZERO CPN C/A
    KANE MC HENRY COOK & DE KALB CNTYS ILL CAP APPREC
    MADISON & JERSEY CNTYS ILL CMNTY UNIT
    SANTA MONICA-MALIBU UNI SCH DIST CALIF G/O ZERO CPN C/A

    3 are 15k maturity and 3 are 20k maturity. They mature between 2019 and 2023 respectively. Once again, the thought was as my child is in college, one or more of these would mature during that timeframe to help pay for the education (along with the 529 fund).

    Probably going to just hold them as they would be tough to sell right now as mentioned. Won't make or break me by any means if they default, but never like seeing that kind of cash go by the wayside.
    why don't you call your financial advisor and have him get some bids for you.....if the bonds are not in danger of defaulting (you have G/O's, so you should be ok), they should be valued pretty high being zero coupons. You may want to look at selling them now and taking the profits. If/When rates rise, you could see some sharp declines.

    If you have the CUSIPs, you can look up where the bonds have been trading on Investing In Bonds



  15. #15
    Speechless
    Points: 452,612, Level: 100
    Level completed: 0%, Points required for next Level: 0
    Overall activity: 7.0%
    Achievements:
    SocialRecommendation Second ClassVeteran50000 Experience PointsOverdrive
    brianhos's Avatar
    Join Date
    Jun 2006
    Location
    Trenchtown
    Posts
    39,720
    Points
    452,612
    Level
    100
    Thumbs Up
    Received: 265
    Given: 37

    Re: municipal bonds

    What rates do you get with muni's?


    They who can give up essential liberty to obtain a little temporary safety, deserve neither liberty nor safety. - Benjamin Franklin 1775

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •  
  • TV: FOX
  • Iowa State vs. Baylor
  • September 27, 2014
  • 07:20 PM