Not pretending to be a financial adviser


 
Lynn Dollar

Lynn Dollar

TVWBB Emerald Member
But right now, this is an extremely safe , high yield place to put some money. US Govt Saving Bonds, the I-Bond series. They pay a base interest rate + the Consumer Price Index. Which means they will always earn more than inflation. The rate is adjusted twice a year, Nov and May. I started buying them last year and am earning 7%. Its expected the rate jumps to 9% next month. The only problem I have with them, there's a $10,000 per person limit, unless they're bought with tax refunds.

Link to free view of Wall Street Journal article.


The Safe Investment That Will Soon Yield Almost 10%
 
GaryP said:
Dang. I was hoping you were going to say invest in a jambo j3.
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Well, hard assets are a decent inflation hedge ;)

Just think, won't be long till the J3 sells new for $15,000 or maybe $20,000. A new one bought today could very well be worth more than what paid for it. And I hear those already hold their value. Kosmos says they can't be found and used can sell for more than a new one.
 
Lynn Dollar said:
But right now, this is an extremely safe , high yield place to put some money. US Govt Saving Bonds, the I-Bond series. They pay a base interest rate + the Consumer Price Index. Which means they will always earn more than inflation. The rate is adjusted twice a year, Nov and May. I started buying them last year and am earning 7%. Its expected the rate jumps to 9% next month. The only problem I have with them, there's a $10,000 per person limit, unless they're bought with tax refunds.

Link to free view of Wall Street Journal article.

The Safe Investment That Will Soon Yield Almost 10%
Click to expand...
Interesting!!
 
Lynn Dollar said:
But right now, this is an extremely safe , high yield place to put some money. US Govt Saving Bonds, the I-Bond series. They pay a base interest rate + the Consumer Price Index. Which means they will always earn more than inflation. The rate is adjusted twice a year, Nov and May. I started buying them last year and am earning 7%. Its expected the rate jumps to 9% next month. The only problem I have with them, there's a $10,000 per person limit, unless they're bought with tax refunds.

Link to free view of Wall Street Journal article.


The Safe Investment That Will Soon Yield Almost 10%
Click to expand...
Looks like you can buy $10,000 electronic bonds plus $5000 paper bonds per calendar year. Total of $15,000 per person.
 
JSaus said:
Looks like you can buy $10,000 electronic bonds plus $5000 paper bonds per calendar year. Total of $15,000 per person.
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The only way to buy the paper bonds, is when you file your tax return and you tell the IRS to buy the paper bonds with your refund.

I would like to see the limit raised, but by the time Fed Govt gets around to getting it done, inflation may be cooling and this won't be as good an investment.

Though I think its 10,000 per person, not per household. So a husband and wife could own 20,000. But I'm not sure of that.
 
Lynn Dollar said:
but by the time Fed Govt gets around to getting it done, inflation may be cooling and this won't be as good an investment.
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Right, I believe we were told this inflation is just "transient". With wholesale costs up over 11%, I think they are a good investment for at least the near future. That 11+% will soon be the inflation number. Thanks for the info, I will probably buy. I am certainly getting nothing from the bank.
 
JSaus said:
Right, I believe we were told this inflation is just "transient". With wholesale costs up over 11%, I think they are a good investment for at least the near future. That 11+% will soon be the inflation number. Thanks for the info, I will probably buy. I am certainly getting nothing from the bank.
Click to expand...
Sounds like homeless people. Transient yet here to stay.

Not a political statement just a bad joke.
 
The only downside I see with the I-bond is that the base interest rate is 0%. Of course you can cash them after 1 year and only lose 3 months interest. Still a lot better than a bank. You just need to pay attention to the rate.
 
Bumping this, tomorrow is the last day to grab some of these ibonds paying 9.62. Got mine yesterday took me 9 trys to get the account open thing was crashing all day then took me 3 more trys to buy them but finally around 7pm got my confirmation.
 
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