Gurus,
I have a couple of questions from Fidelity's Fixed Income section and appreciate your help!
1) United States Treasury - 6-month yield shows 4.83 but 3rd Party price shows 97.606. If I buy at 97.606 ,won't the yield be around 2.4 % or little higher but not 4.83?
2) Corporate A/A shows 6.29% for 6 months(Credit Suisse). I understand Corporate bonds are risky but have anybody tried to? How much is the risk vs reward?
Thanks for your valuable input!
Fidelity Fixed Income questions
- welderwannabe
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Re: Fidelity Fixed Income questions
As to the Treasury, it is a coupon treasury? it may pay interest, if for example you're buying a 10 year note that happens to mature in 6 months.
I am not an investment professional, but I did stay at a Holiday Inn Express last night.
Re: Fidelity Fixed Income questions
4.8% for 6 months. 2.4% annualized.andyandyandy wrote: ↑Tue Jan 24, 2023 2:19 pm Gurus,
I have a couple of questions from Fidelity's Fixed Income section and appreciate your help!
1) United States Treasury - 6-month yield shows 4.83 but 3rd Party price shows 97.606. If I buy at 97.606 ,won't the yield be around 2.4 % or little higher but not 4.83?
2) Corporate A/A shows 6.29% for 6 months(Credit Suisse). I understand Corporate bonds are risky but have anybody tried to? How much is the risk vs reward?
Thanks for your valuable input!
Edit: Got that backwards, but you get the point.
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- Posts: 429
- Joined: Sat Jan 18, 2014 11:36 am
-
- Posts: 429
- Joined: Sat Jan 18, 2014 11:36 am
Re: Fidelity Fixed Income questions
rbd789 wrote: ↑Tue Jan 24, 2023 2:27 pmGot it!! Thanks.andyandyandy wrote: ↑Tue Jan 24, 2023 2:19 pm Gurus,
I have a couple of questions from Fidelity's Fixed Income section and appreciate your help!
1) United States Treasury - 6-month yield shows 4.83 but 3rd Party price shows 97.606. If I buy at 97.606 ,won't the yield be around 2.4 % or little higher but not 4.83?
2) Corporate A/A shows 6.29% for 6 months(Credit Suisse). I understand Corporate bonds are risky but have anybody tried to? How much is the risk vs reward?
Thanks for your valuable input!
Anybody comments on Corporate A/A?
4.8% for 6 months. 2.4% annualized.
Edit: Got that backwards, but you get the point.
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- Joined: Fri Jun 21, 2019 7:06 pm
Re: Fidelity Fixed Income questions
I take risk in stock or go higher in the equity side, I take no risk on the FI side so I stay with CD, I bond and US treasuries. My AA is 90/10.