Dave Coker

Hi Ian

Oh you’re spot on — I like the high yield ETFs as they offer a superb level of diversification. Bonds typically are issued at nominal of $1K or $5K. So if you’ve got maybe $10K to invest you’ll be taking excessive risk (both from the specific issue, as well as the issuer).

But a bond ETF will hold hundreds, perhaps thousands of individual issues, from hundreds of issuers.

So the marginal default rate approaches US treasuries (we have Michael Milken to thank for this insight) even as the yields are much higher.

My favourite ETFs pay monthly. Some will even announce dividends 3M in the future.

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When I was working in Investment Banking I routinely flew about 200K miles or so a year on biz. Courtesy of a flight attendant: It’s amazingly common people for people to tuck their passports into the seat-back pocket after they board.

I find that totally imprudent. I have a shoulder lanyard that is tucked under my shirt. Passports (US / UK) and about £1K in cash live there. I can’t imagine travelling and letting your passport off your person.

Oh she also told me the seat-back pocket is one of the filthiest places on a plane. Often used, never cleaned, stuff not only lives but likely evolves there.

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Trained Wall Street quant here. I’m always amused to hear people opining that Bitcoin has no intrinsic value. It most certainly does: Bitcoin’s intrinsic value is its cost of production. The same applies to other commodities such as gold, etc.

I detailed the argument below. And I’m not saying this because I’ve been buying Bitcoin every Friday for years. If I didn’t believe Bitcoin had

1) an intrinsic value and

2) a higher price in the future

I’d likely stop buying and sell. I’m no fool when it comes to money. And caution needs to be taken when citing economists (the NY Times link); I’ve never met one with more money than me.

Economics is called “The Dismal Science” for a reason.

https://medium.com/coinmonks/bitcoins-intrinsic-value-9251412f144f

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Dave Coker

Dave Coker

Retired Investment Banker, Deutsche Bank, ABN AMRO, Moodys, now University Lecturer in London. Financially independent student of markets. American / British.