David Blair and QuadCap Wealth Management explain the benefits of Bond Ladders (First Part).
Dallas, TX (1888PressRelease) August 05, 2011 - Bond Ladders, a powerful tool for retirement. A bond ladder works by spreading investment dollars among bonds that will mature at various times between one and fifteen years from now. In a normal interest rate environment, shorter maturities will yield less than longer maturities. Think of the individual bonds as rungs on your ladder. As each individual bond matures, your principal is made available for reinvestment at current interest rates.
The value of a ladder is the ability to reinvest the principal from the maturing bond into a new bond with a higher yield. The new bond will then become a new rung of your ladder.
We started QuadCap Wealth Management, LLC to focus on a highly personalized comprehensive counseling program that is driven by dedicated personal service. Our firm provides in depth comprehensive financial counseling that covers all areas of your financial affairs, such as employee benefits planning, tax planning and preparation, asset allocation strategies, estate planning and wealth transfer strategies, as well as risk mitigation strategies.