assured guarantee bond insurance

[chad]

do you guys have these commercials where you live? i don't have a tv, but i listen to am radio a lot. we have a ton of commercials from this outfit. they're all about how you should buy municipal bonds "becasue they're insured, you can't lose money!"

i have never, ever, ever, heard ads to "buy municipal bonds" with a 20 second "how you can't lose money (with fat lawyer talk at the end)" shtick attached.

another sign.

[madfranks]

I've heard variants of the "you can't lose money, they're guaranteed" ads on the radio, but they usually pay a very low interest rate so you end up losing more in purchasing power via inflation than you gain through the interest paid.

There was an hour long infomercial on the radio a couple weekends ago advertising guaranteed investment opportunities and they were laying real thick the "guaranteed", "you can't lose money" theme. They were taking callers so I called in to ask about loss of purchasing power due to inflation versus their guaranteed returns, but since I had to go through a call screener, when I told him my question they never let me on the air to ask it.

[Twisted Titan]

Those guys must be listening to Buffet on the muni bonds



What happens when people dont pay their taxes??

The bonds wont be worth squat then.


T