Comments on: Bill Gross Speaks! + Sears (SHLD) + A [Book Review]

By: The Enlightened American » Bonds, Convertibles And The US Dollar

The Enlightened American » Bonds, Convertibles And The US Dollar — Wed, 10 Dec 2008 01:46:35 +0000

[...] Bill Gross Speaks! + Sears (SHLD) + A [Book Review] [...]

By: Davy Bui

Davy Bui — Wed, 03 Dec 2008 01:38:35 +0000

I’m also worried about the dollar but it’s hard for me to accept the utter doomsday scenario as people like Jim Rogers have presented it. It seems to me that major transitions such as the loss of the US$ hegemony would take years, maybe even another decade or two, as well as major war or similar physical catastrophic events. So I’ve always leaned toward a more balanced strategy of moving to bearish dollar assets but still having some exposure.

Then again, 2011 could be the year it all craps out.

By: Thomas Simon

Thomas Simon — Wed, 03 Dec 2008 01:30:42 +0000

Well yes, but if not dollars what? The Euro countries are not any better off in the long run than we are. Reminbi? I don’t think so. That leaves gold, but gold did not behave as it should based on the simple logic of the past. So, I tend to agree with Dawy regarding bonds or convertibles. However, they need a lot of research, and some of the financial data is not reliable, especially for financial institutions.

By: Jason

Jason — Tue, 02 Dec 2008 22:08:45 +0000

Regarding bonds, it’s interesting that the current issue of Grant’s recommends convertible bonds, and gives a few examples of how buying distressed convertible issues can get you a bargain price on a stock. My concern is with the dollar.

With the colossal expansion of credit we’ve seen, why would anyone want to hold dollars?