10 Comments

Sad news about Zell’s passing. Another source of wisdom denied.

I laughed at the obituary - my father only recently hoped that he’d survive long enough to know that Trump doesn’t regain office (he’s an old school republican). I think he’ll survive alright, but I’m not sure Trump won’t be back. Also not sure Biden is the better choice. Are we living in Jean Paul Sartre’s No Exit?

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Thank you for the Sam stories. I miss him already.

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Janet Yellen was unavailable for the Peach vid.

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Loved the Sam Zell recap. His book “Am I Being Too Subtle?” is a classic. Too many PC, whitewashed corporate types and too few like Sam. RIP

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What the Fed is doing in the TIPS market is ridiculous but what’s sad is that the five year tips are still the best idea I can come up with for the long end of my bond ladder. I’m fortunate to have only ~10% of my portfolio in fixed income.

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What's the yield on 5-year tips? Never bought 'em. Other than old I-bonds, I'm just in T-Bills. Nice to get 5% instead of 0.01%.

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The five year TIPS I bought in April was 1.3%+CPI-U.

Yield has come up a bit since then:

https://home.treasury.gov/resource-center/data-chart-center/interest-rates/TextView?type=daily_treasury_real_yield_curve&field_tdr_date_value_month=202305

At the time I bought them, the implied expected inflation rate was 2.3% which seemed to low (that is the regular five year yield minus the TIPS “real” yield).

TIPS yield is higher than the 0.9%+CPI-U currently offered on I bonds. I also own I bonds. They are simpler from tax perspective.

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Godspeed. I think I'll continue to not own bonds :)

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I would do better in Berkshire under reasonably decent conditions, no doubt about it.

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Sam Zell, rest in peace. Eternal Father please accept the soul of this good man into your keeping. Amen.

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