Thursday, February 14, 2013

Just now, I sold my TLT position.  My thesis has been that government bonds will still be a good hold because 1) overall economic growth will be slow ans 2) they offer the only true hedge for a stock portfolio.

While I still believe in the overall thesis, I have stronger conviction that stocks will be rising over the next few weeks and in that environment, bonds will struggle.  I would look to buy again if we trade a bit lower.  Today's rally in  TLT gives me a chance to get out at a reasonable level.


No comments: