I was considering my fixed income assets which are composed of Total US Bond, short-term corporate bond, a 3% stable value fund, and cash. I have decided that I am going to sell most of my Total US Bond later this week in the hopes that it goes down another 0.5% to 1% over the next few months.
Since the above post back on March 12, FLRN has outperformed the other kinds of fixed income funds I use including a Total US Bond fund, a short-term corporate bond index fund, and a 1-3 month T-bill ETF (see M* 'growth-of' chart next).I bought several thousand shares of FLRN this morning with the money from selling DGS. FLRN is an ultrashort bond ETF: SPDR® Bloomberg Barclays Investment Grade Floating Rate ETF that I will try out for at least a month or so.
There's a lot of love for floating rate bonds now as they will keep resetting upwards as interest rates rise, assuming they do.Since the above post back on March 12, FLRN has outperformed the other kinds of fixed income funds I use including a Total US Bond fund, a short-term corporate bond index fund, and a 1-3 month T-bill ETF (see M* 'growth-of' chart next).
I had a T-bill mature, so I used the money to buy some of the worst performing Total US Bond index fund and some more FLRN today. 292
I am dumbfounded. I can't recall the last time a total bond index fund was up more than 0.75% in a single day. And there is time to go higher still.
Equities have not dropped enough to get me to buy, but they are close.
You may have noticed that I don't really make predictions, but simply react to what happens on any given day.Its a very rare day. Bonds are killing it, but what happens next?
Ha! Based on this morning's drop in the price of DGS, maybe I didn't sell too soon after all?And sold DGS too soon today, ....