Search results

@grebel If you look at Fidelity's brokered CDs, you can find FDIC insured CDs at 5.35% that pay monthly. The catch is that they are long term(10+ years) AND callable, meaning if interest rates go down, the bank can pay them off early to avoid further interest. So you are taking all of the...

@moonphantom And some people will make money

@loveofourlord Yeah. To the shareholder, a buyback is the effective equivalent of issuing a dividend, but all shareholders reinvesting the dividend in shares by default. The problem I have with buybacks as a shareholder is there generally isn't enough transparency around buybacks - companies...

@corbco I reached the same conclusion. I was originally wondering if I could buy at IPO price and flip it. But after seeing how high the valuation is, I realize it's just them trying to cash out while convincing Redditors they're getting an "exclusive deal". So I decided to pass.

@andyprior Falling interest rates good for bonds, in general Federal reserve is going to be indirectly buying corporate bonds, driving values up Bondholders get priority during bankrupcy before equity holders.

@mbm_kdm In theory, if the market was rational, we wouldn't see a crash until the fed raises interest rates such that fixed income provides a higher yield than equities. As it stands now, you buy the S&P500 and it yields more than 10 year treasuries, and that's assuming dividends never grow.