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Discussion Starter #1
Without considering asset allocation how/where would you invest 100K in the bond market

Short term ETC? laddered? individual instrument? foreign?

Any good ideas? please help
 

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Also, consider the PH&N Bond Fund D:
ditto, i am investing about that much and will be buying the phn280 high yield, rbc's new american based high yield fund and then phn110

i think i will dollar cost average in over the next 6 months

just concerned about prices at the moment, want to see them come down
 

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Discussion Starter #5
I need to move more into bonds I have nough in stocks for now... will definitely go short sure but which product

1)xsb
2)clf
3) PHN
4 or other

Key is safety of principal but a better return than ING account

also i guess it makes even more sense to stagger my buys $10,000 every week for 10 week? any thoughts on that approach?
 

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Dollar cost averaging is not a bad idea but I wouldn't pay the frequent trading fees to go the ETF/XSB route.

If it were my money, I'd put it all in the PH&N Bond Fund D or maybe a small part of it in the PH&N High Yield Bond Fund D.

However, when all is said and done, you pays your money and you takes your chances.

Also, a ladder of bonds is never a bad idea and so that might be the way that you would prefer to go.
 

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Key is safety of principal but a better return than ING account
there's the rub ... you could create a bond ladder but you are exposed to defaults ... you can buy an etf but you are exposed to price movement downward

you need something that is in government bonds and has very little price movement i guess

i would say that xsb or clf is your best bet

but if your time horizon is short why not just put it in high interest savings or 1-year or less gic gic ?

at gicdirect you can get a 180 day gic that pays 1.55%

that approaches the yield to maturity of clf and xsb
 

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but if your time horizon is short why not just put it in high interest savings or 1-year or less gic gic ?

at gicdirect you can get a 180 day gic that pays 1.55%

that approaches the yield to maturity of clf and xsb
If one was avoiding bonds completely you can get 1.75% with Ally's 1-year "No Penalty" GIC, which is cashable at any time. It used to 2% (which is the savings account rate right now), and I'm kicking myself for not moving my Ally savings into it instead, to lock in that 2% rate. If you don't need the guaranteed rate you can get 2% in Ally's savings, and 2.2% from one of the Manitoba credit unions (not CDIC, but a provincial insurance program).
 

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Discussion Starter #9
I actually dont need the money for 10 years or so I was looking to move money in the this type of asset as most of it is just sitting in cash

i do want the money safe

i will look at ally and ING

its sounds like bonds break about the same
 

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I liked those times past when bonds stood as a nice counterbalance to the volatility of stocks.

Now, we may be entering a prolonged period when stocks provide a nice counterbalance to downward pressure on bonds.
 

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I actually dont need the money for 10 years or so I was looking to move money in the this type of asset as most of it is just sitting in cash

i do want the money safe

i will look at ally and ING

its sounds like bonds break about the same
If you have the large sums you mentioned and a ten year horizon, the gurus here can probably recommend bond areas that might be expected to outperform high interest savings. But for short term parking, Ally is a pretty good alternative. You can connect the account electronically to other institutions, and probably to some brokerage cash accounts as well. Until Ally decides it has built its customer base sufficiently, that's an extra half percent a year over ING.
 

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ditto, i am investing about that much and will be buying the phn280 high yield, rbc's new american based high yield fund and then phn110

i think i will dollar cost average in over the next 6 months

just concerned about prices at the moment, want to see them come down
I am wondering whats the point of doing DCA for ... bonds allocation ?

Also, imho the advantage of using PH&N actively managed bonds funds is that the managers can adjust long/short bonds allocation when interest rate start to rise.
 

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Since I have no idea about how to manage a portfolio of bond ETF's at this juncture, I use the PH&N Bond Fund D as my main bond holding. I just feel more confident paying a slightly higher fee to have professional managers looking after things. Of course, this doesn't preclude this fund losing money as interest rates rise but what are you going to do if you want to adhere to one's original asset allocation?
 

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Since I have no idea about how to manage a portfolio of bond ETF's at this juncture, I use the PH&N Bond Fund D as my main bond holding. I just feel more confident paying a slightly higher fee to have professional managers looking after things.
But isn't this the whole point of taking a passive approach to investment management in the first place -- not to make bets because amateurs and professionals alike have a very poor record of predicting the future?
 

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But isn't this the whole point of taking a passive approach to investment management in the first place -- not to make bets because amateurs and professionals alike have a very poor record of predicting the future?
PH&N have a very impressive track record.

There place for active management, tactical asset allocation and even speculative investment in any portfolio.
 

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Since I have no idea about how to manage a portfolio of bond ETF's at this juncture, I use the PH&N Bond Fund D as my main bond holding. I just feel more confident paying a slightly higher fee to have professional managers looking after things.
x2
 

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PH&N have a very impressive track record.

There place for active management, tactical asset allocation and even speculative investment in any portfolio.
If that's what you're after, it doesn't appear that you'll get any of it with PH&N -- more like a feel good notion.

The point I'm attempting to make is that when the future looks certain, it rarely turns out that way; that's why making one way bets rarely works, hence the attractiveness of a passive approach.
 

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I've been out of bonds for a few months and looking to get back in. But yields have come up a bit in the last few days, so I'm going to wait and see what happens.

Ally 2% looking good for time being.
 
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