As Long Bonds Get Longer,Do They Get Riskier?Larry Light
A 50-year bond, you say? Hmmm. In 1943, a ticket to see Casablanca cost a quarter, and 30-year Treasury bonds paid out 2.5%. In 1993, admission to Jurassic Park is $7 or more, and the long Treasury yields 6.8%. In 2043, we may be creating our own movies via virtual reality and...well, who knows where interest rates will be? Nevertheless, a small yet growing group of major corporations is hawking 50-year bonds to lock in today's (relatively) low rates.
To continue reading this article you must be a Bloomberg Professional Service Subscriber.
If you believe that you may have received this message in error please let us know.
- Tesla Unveils ‘World’s Fastest Production Car’ and Electric Big Rig
- Norway Idea to Exit Oil Stocks Is ‘Shot Heard Around the World’
- Getting a Dog May Save Your Life, Especially If You’re Single
- The Questionable Math Behind Manafort’s Extravagant Home Renovations
- World’s Biggest Wealth Fund Wants Out of Oil and Gas