My money market FDIC-insured NOW account now pays 0.4%, down from a lofty 0.6% a few months ago. It’s a disgrace what this administration is doing to savers.
Hence, yesterday I went on a search for high yielders. This is my best list. It has three categories:
1. Stocks. Basically mortgage REITs.
2. New York bond funds whose dividends are triple tax-free. That’s important for people who live here.
3. Bond funds preferred by Bill Gross and recently invested in by Bill Gross.
These things do fluctuate in price. So you could lose in principal what you make in dividends. Perhaps even more. So put in a sell order at 8% below what you paid. Or keep an eye and sell. You could also sell some covered calls on them… Says he, thinking. More on them tomorrow. Ran out of time today. What are your thoughts on my list?
Cockroach stocks. They perform and perform and perform. I think I’ll start a little chart on the right tomorrow. BP is the classic cockroach. It’s down 50% from earlier this year. Goldman is another. Now comes word of another cockroach. The SEC is investigating yet another of Goldman’s synethetic CDOs, this one a $2 billion confection called Hudson. Goldman is down 28% from its 12-month high. You can read about the SEC’s latest investigations into Goldman on Naked Capitalism. Google has been another cockroach stock, losing 25% since its brush with Chinese censorship.
Remember, a stock become cockroach when something awry hits the company. Normal stuff is the economy, bad (or good) earnings. “Awry” is old spills, SEC brushes, political messes, etc.
Why Microsoft is doomed — at lest for now. Until it changes its CEO. Business is to please its customers. It’s not good when you annoy your customers. I am a Microsoft customer. I just got my new Lenovo ThinkPad X201 with Windows 7. I’ve been running Windows XP happily for eons. To run Windows 7 now,
1. I have to re-install all my old software (I actually have the old discs).
2. I have to configure Windows 7 the way I like it. Which means learning a new way of doing things. And which now includes messing with the registry, a dangerous game at best.
3. I have to move all my working files over. This is actually the easiest part.
If you’re moving one Mac to a new, faster Mac, you can do all these three tasks in half an hour.
If you doing this on Windows and moving from old XP to “modern” Win 7, it easily could take you 12 hours.
There’s the rub — 12 horrible, agonizing, frustrating hours versus 30 minutes of painless work while watching your favorite TV show.
How Microsoft could be so stupid is beyond my brain. The frustration with Microsoft comes from aspects. First, Windows 7 is radically different to XP, so finding new ways to do old things takes time. Worst is that many of your favorite older, software programs simply don’t work under Windows 7. Which means you have a scramble for new versions — some of which don’t exist. Or you have to find new software that does what the old software did flawlessly. You have to pay for and test new software. I figure I’m batting about 75%. About a fourth of my old (but old) software doesn’t work on Windows 7.
So, Harry, why “upgrade”?
Good question.
There’s an old mantra in the computer game: “If it works, don’t mess with it.”
Frankly, I was curious about Windows 7.
My conclusion: It appears to have pluses over XP. But, will I ever get it working? As the world wakes up to Microsoft’s arrogance (forcing you into the 12 hours) versus the simplicity and reliability of Macs, so more of the world (including the business community) will move over to Macs. I’m holding my Apple stock. I have shorted Microsoft.
I love these $50 shoes.
They’re comfy, light and airy. They breath because their upper is canvas. Perfect for traveling. Click here.
How times have changed.
Harry Newton,whose celebrating a birthday today. He’s counting all his blessings — Susan, Claire, Michael, Barbara (sister and her family), handful of friends and everyone’s health. Touch wood, it’s good. Today I’ll some tennis and go to dinner and the New York City Ballet tonight. Life is good.
Today I’m taking a rest from rebuking myself for all my recent ultra-stupid investment decisions.
Happy Birthday Harry!!!! To you, many,many more happy & healthy ones to come!!!!! Thanks for all the investment advice.
All the best,
Brenda
All the best on your birthday, Harry. Thanks for the work you do to share your search for that perfect investment with us.
Happy Birthday Harry.
Your unhappiness with Microsoft is shared extensively I think.
I switched to a mac 2 years ago. I will never go back to a windows PC. I do
run a copy of windows using Fusion for the 1 or 2 programs that are not
available on the mac – and it runs just fine.
But the mac is UNIX based – and it just works better. It isn't perfect, but
it works better than windows in my opinion.
And as you say – Apple just knows how to make the customer experience good
(like moving to a new machine).
And no registry crap getting clogged up
And no major headache upgrades
And more stability
And nicer features
And better performance
And much better ergonomics in mac
And a bunch of sexy features
Hmmm – which one will I stick with??? Hmmmm. Windows … Mac….
Windows… Mac…. Not a hard decision.
Microsoft has lost the plot. In fact, they have made DETRACTORS out of
people like me. I really have a problem with them. Just to illustrate my frustration, the ONLY software on my mac
that tends to give me problems is OFFICE!!! Go figure.
Harry, be fair to msft.
Yes, this was a hard decision for the business. There were some significant technical challenges associated with giving people a simple upgrade product for the transition from XP to Win 7. XP was nearly 10 years old when Win 7 was released. Some people forget that.
Hau'oli la hanau (happy birthday) Harry! Even though I think Keds at $50 is outrageous, you deserve to wear the icon of tennis shoes! My beloved and scruffy red ones are probably still hanging on a tree branch. Thanks for your daily blog, which starts my morning! You are truly blessed –
Hi Harry,
My guess is that MSFT could have written a program to convert XP to WIN 7. However then MSFT would have had to field support calls. To eliminate this expense, MSFT transferred 12 hours to each user. How to love your customer!
I bough a Mac, loaded VMWare and my old licensed Windows XP along with the needed Windows software. I use Windows only when I need it, which is now maybe once per month.
A very happy birthday to you. And, if it pays 15% yield, it ain't worth the risk. Remember your old saying, it's about the return OF your money, not the return ON your money. (1.3% yield on AMEX On-Line Hi-Yield savings account, no minimums, totally liquid….)
With respect to microsoft, can you say Mac, Mac, Mac…..?
Happy Birthday, Harry, but I ain't touching your wood, no matter how good it is.
Happy Birthday!
Happy Birthday Harry – still enjoy your blog thanks for your thoughts – have you looked at O as a income stock ? If so what do you think >
HAPPY BIRTHDAY, HARRY! Remember, I have a CDO on you making it all the way to the book party!
Hi Harry.
The ads made my day. Five big laughs.
I must be getting really old.
Your $50 tennies look like the Keds we used to by at the grocery story for about $2.
Well, that was about 100 years ago.
May all your cards be funny, your chores light,
your tennis arm strong, your cake sweet,
and your day fit for a king,
Happy Birthday.
Have a Great One Harry-I met you in Dallas at a Telecom trade show many moons ago.
Happy Birthday. Thanks for sharing your personal life.
Happy Birthday to you Harry! You are truly living a blessed life. I have thoroughly enjoyed reading your column since the beginning, especially the personal notes about tennis, Claire and Michael.
I hope you have a wonderful day filled with aces and winners!
Happy Birthday! Keep up the excellent work.
Happy Birthday Harry…just remember…the golden years may be lined with lead…mostly in the butt. Keep moving.
Lucky