Wednesday, August 19, 2009
Buying yield
Bought some ultra-safe MSFT bonds @ 2.95% and some EXELEON @ 3.45%. Zero chance of default on MSFT, and in the utility space, recoveries are high in any potential bankruptcy (which I compute at nearly a 0.02% chance of occuring). I hedged my inflation/interest rate risk using LINE, a great master limited oil partnership.
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