Quote:
Originally Posted by garyseitz
Thanks Ray for the web-site, it matches my bill exactly.
My CD'S are drawing on average 1.4%.
Money market .85%
My 30 year mortgage is fixed at 4%
And my bond interest is 6.125%
The default risk on these bonds must be greater than I would have thought.
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The default risk is not reflected by what you are paying in interest but what interest rate (YTM) a buyer of the bond is able to get. I'm sure these bonds, if traded, are priced well above par.