logo1
Follow me on Twitter  View our profile on LinkedIn  View our videos on YouTube  Like us on Facebook
April 27, 2018   
Warning: Safe havens aren't so safe               
The interplay between investments, personal finance decisions, interest rates, and cash are explained well with charts. Here's the most important chart right now in the world of finance:

 

It's a chart of the 2 year Treasury yield. From 0.613% on July 5, 2016 to an intra-day high yesterday of 2.50%, the yield on the 2 year Treasury bond rose over 300% in less than 2 years. That's a heck of a lot. And it changes the valuation metrics for the entire spectrum of investments and loans. It no longer suffices - not to me, anyway - that interest rates are still historically low. 10 years of ultra-low interest rates was long enough for investors to become accustomed to those low rates. It's catching a lot investors off guard. 

The chart above also reminds me of a phrase I used to conclude an article I recently wrote:

"I've seen this movie before. When interest rates rise, it's always the same group of conservative investors who were overreaching for yield who wind up getting burned"

The article isn't something like "Three stocks to send your portfolio to new heights" or anything like that. But it is educational. My hope is that it makes you a better investor. Since the time it was written, this past March 2 nd, it actually applies more to today. I send you there now:  
CNBC: Here's the most alarming market message: So-called safe havens aren't so safe


Is your conference or convention looking for a speaker? I am available for public speaking engagements.        
   
    Thanks for reading,
Mitch
 
I opened ClientFirst Strategy, Inc. because I believe that the only way to help my clients potentially achieve their goals is by offering unbiased advice & investment management expertise. To my clients, thank you for your continued vote of confidence. If you are not a client but would like to explore the possibility of becoming one, I invite you to call me directly, visit my website, join my email list, and/or connect with me on social media.
  
 
          
 To view articles and original content, click HERE.

Your thoughts are valuable! Email me to let me know what you think of this. I'll reply!
MGoldberg@ClientFirstStrategy.com

   
All the views expressed in this report/commentary accurately reflect our personal views about any and all of the subject securities or issuers and no part of our compensation was, is, or will be, directly or indirectly related to the specific recommendations or views we have expressed in this report. This material is not intended as an offer or solicitation for the purchase of sale of any security or other financial instrument. Securities, financial instruments, or strategies mentioned herein may not be suitable for all investors. Any opinions expressed herein are given in good faith, are subject to change without notice, and are only correct as of the stated date of their issue. Prices, values, or income from securities or investments mentioned in this report may fall against your interests, and you may get back less than the amount you invested. The information contained in this report does not constitute advice on the tax consequences of making any particular investment decision. You should consult with your tax adviser regarding your specific situation. Diversification is a method of managing risk and doesn't protect against loss in a down market. Indexes are unmanaged, do not incur management fees, costs and expenses and cannot be invested directly. Past performance is not a guarantee of future results.
  
  

Mitchell O. Goldberg, AAMS, President | Investment Professional

OSJ Manager 

 

ClientFirst Strategy, Inc.

290 Broadhollow Road, Suite 200 E, Melville, NY 11747  

(D) 631-920-6622 (F) 631-920-6624 (C) 516-818-0338

mgoldberg@clientfirststrategy.com | www.clientfirststrategy.com

      

MissionStatement:

To financially empower our clients so that they can achieve their most

important goals and to confidently plan for the future that they envision.

  

 

 

 

Securities & Investment Advisory Services Offered through NEXT Financial Group, Inc., member FINRA/SIPC.

ClientFirst Strategy, Inc. is not an affiliate of NEXT Financial Group, Inc.