InterDigital Inc (IDCC)

[olddog967]

jeffree: Here are some comments on the rate of return on IDCC's short term investments. I don't know how intelligent they are.

The data you posted was as of 31 Dec 2016. With short term investments there is a constant turnover and reinvestment. The 0.8% rate return that you show was in line with short term rates as of that date. one guide that is used is a Federal Reserve computed One-Year Treasury Constant Maturity daily rate index, which is defined as:

"What it means: An index published by the Federal Reserve Board based on the average yield of a range of Treasury securities, all adjusted to the equivalent of a one-year maturity. Yields on Treasury securities at constant maturity are determined by the U.S. Treasury from the daily yield curve. That is based on the closing market-bid yields on actively traded Treasury securities in the over-the-counter market."

http://www.bankrate.com/rates/interest-rates/1-year-treasury-rate.aspx#ixzz4kgfqnWs7

As we know, the Federal Reserve, has taken action to push short term rates higher. The following site has a chart of the daily One-Year Treasury Constant Maturity rates. As can be seen on the chart, during most of 2016 the rate was in the 0.6% range, and then in late Nov jumped to the 0.7-0.8% range, with the current rate being approximately 1.2%. So IDCC’s reported 0.8% rate as of 31 Dec was not unusual.

https://fred.stlouisfed.org/series/DGS1