Where is the arbitrage in the CD market?
Sunday, June 3, 2012 at 11:42AM
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I was never a fan of buying bank CDs. Especially long term CDs that often had yields that were often at or below the rate of inflation. I viewed them as something only a grandmother could love. But after realizing that a bank CD is more properly viewed as bond with an implicit US government guarantee (up to certain amount), it was time to compare them to treasuries. And that is when I found something quite interesting (thanks to the writing of ... read more)

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