Investment Strategy #3: Bonds Paper

In this final research paper of investment strategies, we will date bonds. ?A bond is a contract between the borrowing company (issuer) and the lender (investor) in which the borrower promises to pay a qualify amount of interest at the end of each gunpoint the bond is outstanding and to repay the principal at the adulthood date of the bond contract? (Albrecht, Stice, Stice, & Swain, 2005, p. 538). For this final hebdomad our squad is given $10,000.00 to invest in either merged and/or Municipal bonds.

As previously stated our team goal is to focus on return on investment (ROI). With that in mind we aim to select bonds that are calling at a discount rate and have a bond rating of BBB or better. Since bonds are issued in increments of $1,000.00, our dodging is to select bonds below the issue price. To add to our portfolio?s entertain we will tar accept bonds with a coupon rate of 6% or better.

Sprint Nextel offers a comprehensive range of piano tuner and wire line communications services bringing the independence of mobility to consumers, businesses and government users. Sprint Nextel is widely recognized for developing, engineering and deploying groundbreaking technologies, including two robust wireless networks serving 53.1 million customers at the end of 2006; industry-leading mobile data services; instant interior(a) and international walkie-talkie capabilities; and an award-winning and global (Yahoo Finance, 2007)a.



Name and company germinate ticker symbol: Sprint Nextel Corp ? Sb.Where the bond is listed: everywhere the counterc.How Sprint consorts within the investment strategy: Sprint fit into our investment portfolio because it falls within the criteria of selling at a discount.

d.Price at purchase: 97.88200 ($978.82)i)Yield: 6.051%ii)Coupon rate: 6%iii)Date to maturity: celestial latitude 1, 2016iv)Premium/discount: Currently the bond is selling at a discount.

v)Rating: BBBe.Number of bond purchased: 2f.Expected return on investment: If...

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