The Federal Reserve announced this week they will keep interest rates low until at least late 2014. This is a continuation of the current policy of keeping rates artificially low. This effectively steals from savers and gives a subsidy to borrowers and the banks. Policymakers are trying to force investors out on the risk curve.
Recoveries Don’t Get Much Weaker Than This – Bespoke Invest
Bottoms are much easier to identify than tops. – Capital Observer
Growing Disconnect – If 30 year interest rates increase by 1%, you can expect to lose 15%+ on a 30 year treasury bond. – Surly Trader
The Chase For Yield Is On – The U.S. high yield market is starting to look somewhat frothy. – Sober Look
Portugal 10-Year Government Bond Yield at Record High – Mish’s Global Economic Trend Analysis
Differentiating Between an Irrational Market or a Strong Bull Market Trend – Option Alpha
Five Indicators to Gauge Risk Appetite – Ivanhoff
Bullish Sentiment Remains Elevated – Pragmatic Capitalism
Transparency Is Overrated; Bernanke Does Not Understand Savings – The Aleph Blog
Black Swans, New Normals and Why History Matters to the Investor – The Online Investing AI Blog
Return on Enterprise Value (ROEV) Backtest (The valuation ratio every investor should know!) – Fat Pitch Financials
| AAAMP Blog by Ken Faulkenberry | |
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Ken Faulkenberry earned an MBA from the University of Southern California (USC) Marshall School of Business with an emphasis in investments. Ken has 25 years of investment experience and is dedicated to helping people with self-directed investment management through the Arbor Investment Planner. His asset allocation strategies have an outstanding performance record. |
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