Friday, December 7, 2012

Danger Lurks Inside the Bond Boom

Interesting article in the Wall Street Journal about corporate bonds and how many corporations now have higher dividends on their stocks than yield on their bonds.  It also talks about how many bond managers are moving into equities or equity like investments.  This is another consequence of the Fed's QE policy which forces many investors into stocks but could have a number of dangerous consequences down the road when interest rates increase and if stocks take a tumble.

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