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My bond broker called me last week, to remind me that an incredible taxable municipal bond I'd bought 3 years ago, was about to mature in April. Looking back at it now, I don't even understand how I lucked out in buying a 9.25% bond at par then, but now comes the tough task of replacing it (Ha!).
There are NO high quality bonds even close to that rate or price; the best you could hope for is probably 1/2 that coupon, at at least a 10% premium. So even the best case scenario will mean a significant loss of income.
HOW MUCH RISK WOULD YOU BE WILLING TO TAKE ON, TO MAINTAIN FACE VALUE & INCOME? WOULD YOU MOVE TOWARDS JUNK BONDS OR STOCK .. OR JUST SUCK UP THE INCOME LOSS TO KEEP YOUR RISK DOWN?!