EuroBusiness.dk - By Mikkel Roland Egesberg: Should one buy stocks or start buying more bonds in these times? It would seem US TECH stocks are highly leveraged, so perhaps one should start making some bond purchaces, once the interest rate return becomes more interesting? One should not just lend out to 5 % interest rate, if the interest-rate doubles 2 month there-after! How much can one squeeze the lemon?Remember just because they promise you 50% in yearly interest-rate, it doesn't necessarily mean, that you are gonna get it!Remember, Companies have gone broke, they can go broke, and they will go broke...did you buy their bonds?
It would seem though the bond holders (Covered bonds?) might be put before the stock-investors, when it comes to the distribution of the assets of a failed company, unless, they start taking up loans on credit, spreading these money out on the stock-owners by dividends, and then go bankrupt..., but hey, who does that?
(I read this on the internet somewhere a while ago, here is a another version of it, short version of it): APPLE is taking up loans (selling BONDS) to pay it out in dividends to their stock-investors..Is the company bankrupt, and hides it with new debt, trying to help out their US investors with dividends, fucking up their creditors badly instead?:
