Dear Uncle, Aunt or any Baby Boomer,
As a amatuer speculator/investor I am often looking for potential investments to suit all different tastes and situations. Since you have begun to transition to retirement I have been looking particularly at conservative, well managed investments that will give you comfort that your money is safe while you focus on service activities and other more actualize pursuits outside of the rat race.
As your unofficial, self appointed portfolio manager, I have two objectives for you.
First, maintain a steady, secure income.
To do this you must find securities with a high margin of safety.
Second, you must prepare for a high probability of massive inflation.
Unfortunately, finding a security that meets the first criteria puts you at risk for the second criteria. So a combination of securities can be assembled in the 20% of your portfolio that is speculative that may put you ahead of the game.
Since the first objective is more important than the second, I have assembled a list of securities that will benefit over the next year from the short term deflation of the asset unwind.
The following securities are all issued by companies with solid fundamentals that could withstand major downturns in the market for an extended period of time.
NYSE:JZL - Kraft debt
NYSE:JZT - Boeing debt
NYSE:KTH - Philadelphia Gas & Electric (Regulated Utility)
NYSE:XFR - Bristol Myers Squib debt
NYSE:JBI - Sempra Energy debt
NYSE:WRS - Westar Electric mortgage debt (Utility)