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Re: ls7550 post# 31085

Friday, 11/20/2009 2:03:10 PM

Friday, November 20, 2009 2:03:10 PM

Post# of 47095
* At the next maturity date we buy another 3-year bond.
* etc. etc.
* On January 1 of each year we always have three bonds maturing in 1, 2 and 3 years (with, usually, different yields).



Just for the heck of it I wonder how the same rollover scheme would work with other instruments such as bank CD's? (Certificates of Deposit usually for a fairly high minimum, with penalty if taken out before maturity. Banky-spanky was Lichello's term, I think.)

Curious,

AIMster

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