EASAN KATIR      

Every Monday morning I go shopping.  Not for groceries.  I shop in the biggest market on the planet:  the $24 trillion US Treasury bond market. I find the juiciest profits on the yield curve and add that to client accounts.  Currently the ripest yield is more than 5%.  Profits this high have not been available for sixteen years, so this is an extraordinary opportunity for high yield with what many consider the safest investment in the world. 

What is the Yield Curve? The US bond yield curve is a graphical representation of the yields of US Treasury bonds of varying maturities. It plots the yields of US Treasury bonds of varying maturities on the y-axis and the corresponding maturities on the x-axis. Usually the US bond yield curve slopes upwards, reflecting the fact that longer maturities typically offer higher yields than shorter maturities. This is because investors demand a higher return for taking on the additional risk of a longer-term investment. The US bond yield curve is a useful representation of the current market conditions, as it can indicate whether the market is in an expansionary or contractionary phase. In an expansionary phase, the yield curve typically slopes upwards, reflecting the fact that investors are more willing to take on additional risk. In a contractionary phase -- now -- the yield curve typically slopes downwards, indicating that investors are less willing to take on additional risk. In conclusion, the US bond yield curve is a graphical representation of the yields of US Treasury bonds of varying maturities, and is useful for indicating the current market conditions. It typically slopes upwards, reflecting the fact that longer maturities typically offer higher yields than shorter maturities.

Yes, now the normal yield curve is inverted. An inverted yield curve slopes downwards, instead of upwards. An inverted yield curve is often seen as a leading indicator of a potential recession, as it signals that investors are more cautious and risk-averse. So while this persists, we invest in the highest yield and reinvest when the bills mature, providing a more profit with less risk than the lower yielding bonds at the long end of the curve.

After twenty-plus years in America raising a family, a long-term client now lives full-time in a resort in rural Portugal.  She enjoyes the friendly people, the beauty of the land and the leisurely pace.

She loves living at the resort. She says it is a perfect place to relish the simple things in life. She enjoys spending her days exploring the surrounding countryside and making new friends with the other guests. She was ready for a change.  She found it in a village in Portugal. 

That's what we do, so you don't have to.  Perhaps you've tried watching each market move. It's fun for awhile; then, not so much.  That's our mission, which we do each day for clients' benefit.  We find investments early in the ever-changing market and recognize business cycles that we've seen before and know how to respond.

We go further.  In August, we travel to Jackson Wyoming while the Fed conducts their annual Symposium.  Pictured here is the 'Troika', Powell, Brainard and Williams. The Fed has a great influence on investments, so it's good to talk informally in person and learn their views.