Buffettology Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Buffettology

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: James Clarke who wrote (1072)	2/25/1999 9:35:00 AM
From: Robert Douglas	Read Replies (2) of 4691

James, Thanks for bringing Ambac to my attention. It looks like a business that I can understand. I have just one question for you that has been on everyone's minds the last few days. How might rising long-term interest rates effect the company's earnings? A quick look at the S & P sheet (my generation calls them tout sheets) reveals that half of their earnings have come from investment income. Do you know if much of this was a result of the 90's bull market in bonds? Would a jump in rates hurt their earnings? Furthermore would a rise in bond rates slow down the issuance of new municipal bonds? I would love to pick up a great company like this if a temporary rise in rates brings the stock down. -Robert

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next