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Post by steadyeddy on Jan 7, 2021 0:24:33 GMT
I know TLT has been drifting lower for the last several months since August 2020, probably because the market is pricing in higher inflation and higher real interest rates at the top of the yield curve.
I picked up a good chunk of TLT today around $152 a share - which is kind of a midpoint in TLT's 52wk range.
Anyone else dabbling with this widget?
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Post by rhythmmethod on Jan 7, 2021 4:39:12 GMT
I hold it and added today. In my mind, I separate it from my bond thinking and look at it as black swan protection. There will come a time when it won’t work, but I think that is a few years out.
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Post by steadyeddy on Jan 7, 2021 14:18:04 GMT
I hold it and added today. In my mind, I separate it from my bond thinking and look at it as black swan protection. There will come a time when it won’t work, but I think that is a few years out. RM - Do you buy-and-hold OR trade TLT? Do you have a % target for the amount of TLT you hold? |
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Post by Chahta on Jan 7, 2021 14:20:57 GMT
Are you betting that interest rates move down? I do not understand the logic of buying TLT other than black swan protection. Is that realistic?
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Post by rhythmmethod on Jan 8, 2021 0:57:24 GMT
The TLT is black swan protection. My allocation is small < 5% but I do buy on dips. I plan to hold, unless...well there is a black swan. It’s the left hook that comes out of nowhere, while your watching the jab, that gets you. I want something that is more inverse equities. I consider it a self made protection section of my mostly multi-sector bond allocation.
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