What we believe

We have found a better way to invest in bonds, which empowers investors and drives higher returns. This new way of thinking enables BondSavvy to identify investment opportunities many overlook.  Hover over the outside circles to learn our unique approach to corporate bond investing.

We don’t advocate only investing in bonds we can hold to maturity. We continually evaluate the investment recommendations we have made and advise on whether we recommend no longer owning those bonds and what a better bond may be. For our own portfolio, we have generally held bonds for as short as six months and as long as four-plus years. Investment Holding Periods Since our recommendations are focused on achieving capital appreciation, we often find corporate bond investments that can drive higher after-tax returns than municipal bonds. After-Tax Returns We believe investors can benefit from owning individual bonds instead of bond funds. Owning individual bonds can help investors achieve higher returns and realize benefits not offered by funds: return of principal at maturity, payment of a fixed coupon, and lower fees. Individual bonds help you take control of your investing future. "Fundification" of Investing We don’t see interest rates as the primary driver of bond prices. Rather, we see them as one of many factors impacting bond selection. We look for compelling investment opportunities at the bond (or CUSIP) level where we have seen bond prices increase even when interest rates have risen. Interest Rates While laddering is a good concept in theory, we believe it can leave a lot of money on the table. If you limit your bond investment selections to only those that mature in specific years, you could be missing out on a great bond that matures in a year without a rung. We evaluate bonds of ALL maturities to find the best investment opportunities. Limitations of Bond Laddering We are not just coupon clippers. Rather, we seek to maximize total returns by identifying undervalued bonds that can appreciate in value. Many of our investments to date have achieved returns greater than those of the stock market. Returns Objectives The over-diversification provided by large bond funds and ETFs is not needed by many investors. We are partial to Warren Buffett / Charlie Munger “focus investing” where we concentrate investments on the best opportunities. We do, however, make 25-30 investment recommendations per year so we provide our clients a variety of investment alternatives. Focused Investing vs. Indexing
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