Quote:
Originally Posted by Plinker
Where can I go to find such an investment?
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If you have an account at Fidelity, go to
Fidelity.com is Temporarily Unavailable
Then browse either US treasuries or US Treasury zeros. The zeros pay no interest … but are priced at a discount so when the bond matures you have a capital gain.
Find the bonds with the time frame you want (more than 12 months so any gains are long term). Identify the bonds with zero or very low interest rates. Compare the yield to maturity and yield to worst for the different bonds. Pick the highest. Since all are US treasuries, the risk is the same.
Vanguard has similar offerings.
And to be clear, I am only talking about US Treasury ot US Treasury zeros. Corporate bond have the same potential, but requires much more expertise to avoid pifalls. US treasuries are always have great liquidity.