I've taken a small position in TIPS (Treasury Inflation Protected Securities). I bought the .375's of 2023 at abt 98, so they have a guaranteed profit, minimal if deflation, and a little more than inflation as measured by core CPI, if inflation. I will hold to maturity or only sell if at a good profit and if the price drops in the interim, likely buy more. Also, I added a link to my blog, "Bonds - TIPS Prices." Also, I've included my holdings of GNMAs. The reason I didn't before is because they have, because of the capital they have returned, the face amount is very small. No reason to sell since they do pay 6% interest. I had bought them a long time ago. The only reason I mention them now is because they are also the kinds of bonds besides Treasuries which I would consider if mortgage rates made them worthwhile. My portfolio now stands, in order of largest holding to least......
INTC (Intel)
WAG (Walgreen)
PG (Procter & Gamble)
PEP (Pepsi)
GPC (Genuine Parts)
KO (Coca Cola)
HAS (Hasbro)
MMM (3M)
ADP (Automatic Data Processing)
T (AT&T)
KMB (Kimberly Clark)
SYY (Sysco)
.375 of 2023 TIPS (Treasury Inflation Protected Securities)
DPS (Dr. Pepper, Snapple)
6% GNMA (Government National Mortgage Association) Bonds
Stocks make up abt 20% of my assets. Other assets are CDs, a home
mortgage and about 2% precious metals + TIPS.
