08-02-2021, 07:45 AM
(08-02-2021, 06:02 AM)NilesMike Wrote: Bonds, as part of my TYD/UPRO strategy, has worked out very well.
TYD is down about 15% the past year. OK as part of a trading strategy but zero interest in holding it.
Ken, when bond yields are more normal, mid to long-term bonds are a great hedge against equities. Bond prices run up when rates drop. Unless the FED goes negative there just isn't much room for bond price appreciating. This is the first time in my life when cash may outperform bonds for any length of time. I highly doubt Mike is holding TYD for an extended length of time.