Join Early Retirement Today
Thread Tools Search this Thread Display Modes
Old 08-07-2016, 02:20 PM   #61
Recycles dryer sheets
Join Date: Mar 2016
Posts: 60
Originally Posted by Earl E Retyre View Post
How many years out do you need to commit to in order to get 4.5% return on an A rated munibond? Are you sure that this is protecting from inflation 10, 20 ... years from now?
My bond portfolio of 500K, I own about 85 AA rated insured muni bonds, each bond worth $5,000 and I do not own more than 3 bonds with any municipality. I am 47 years old and I build a bond LADDER portfolio with maturity dates from 2017 to 2024. I get close to $23,000 per year in interest and I use the money to buy more bonds. My portfolio grows about 4.5% annually and will always be ahead of inflation. It took me almost 2 years to buy 85 AA rated insured muni bonds because the 4.5% don't come on the secondary market offten.

Note: My bond portfolio is only about 15% of my net worth, it's a very safe bet against inflation and very liquid if needed.

vipertom1970 is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Old 08-07-2016, 03:16 PM   #62
Thinks s/he gets paid by the post
gauss's Avatar
Join Date: Aug 2011
Posts: 2,377
I would put it into a nice low-expense index-based Balanced fund and forget about it. (Well I probably would check the value when the stock market hits new highs.)

I wouldn't sweat timing the market because the fund will be self-Balancing.

"Set it and forget it" Investing has been great since I have adopted this strategy since FIRE'ing ~4 years ago. Lower stress/anxiety and better results.


gauss is online now   Reply With Quote

Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off

Similar Threads
Thread Thread Starter Forum Replies Last Post
Would you live in a place you didn't like if it meant you could FIRE? Kathryn48 Life after FIRE 66 07-18-2008 01:58 PM
Who would you want to play you in a movie about your life? Mr._johngalt Other topics 11 10-16-2006 04:07 AM
If you HAD to invest 40k, what would you do? thefed FIRE and Money 17 05-10-2006 07:23 AM
if all you had was 10,000 dollars. *how would you zuki FIRE and Money 7 02-18-2005 11:07 AM
The one thing you would like to do before you Die? Cut-Throat Other topics 7 11-05-2004 02:00 PM

» Quick Links

All times are GMT -6. The time now is 01:54 PM.
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2019, vBulletin Solutions, Inc.