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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?


To: Larry S. who wrote (16498)2/22/2003 8:44:09 PM
From: Joan Osland Graffius  Respond to of 79066
 
Larry,

Good find. This fund looks like it is accomplishing the loss in value of the long bond. The 125% covers some of the interest income losses. The game one could play is use this instrument to hedge some long bond positions and when one thinks the long bond has bottomed, swap out both the hedge and long bond holdings and purchase current long bond to enjoy the larger interest income.