6 replies to this topic

[norton]

Just last week I wired over 100K OUT of IndyMac bank money market and into a Corus bank high yield FDIC money market. Now Indy is bankfupt rumour? Now Corus bank's stock is also tanking, anyone know if Corus is involved in subprime mortgage stuff? Should I be worried about Corus going bankrupt? I am thinking now of burying it all in the back yard, or maybe T bills? Any suggestions for an ETF to park cash in that would benefit from rising short term rates over time?

[Data]

Corus is heavily involved in development loans to homebuilders.

EDIT: It didn't take much effort to find one article.

WSJ: Corus Stands at a Precipice In the Condominium Bust

http://www.realestat...80331-karp.html

Edited by Data, 07 July 2008 - 03:00 PM.

[Cirrus]

Keep your cash in IB. Do your own research but last I checked they are about as conservative and safe as it gets. Besides, you can move your money into any currency you want with a a click of a mouse. You can check out their tier levels for interest rates for different currencies.

[Islander]

For regular deposits, including CDs, there is FDIC coverage on bankrupt banks. Your 100K is likely protected, however the time for the comptroller of the currency to make payments to depositors can be lengthy, like 6 months in the last savings and loan crash. I think your concerns can be protected in TIPS, Treasury bonds inflation protected securities, some inflation protection, y= 15% YTD. Look at VAIPX. these are .1 Annual expense investments. I keep a role there and never lost . Try not to worry too much. Best, Islander.

[IndexTrader]

Just last week I wired over 100K OUT of IndyMac bank money market and into a Corus bank high yield FDIC money market. Now Indy is bankfupt rumour?
Now Corus bank's stock is also tanking, anyone know if Corus is involved in subprime mortgage stuff?
Should I be worried about Corus going bankrupt?
I am thinking now of burying it all in the back yard, or maybe T bills?
Any suggestions for an ETF to park cash in that would benefit from rising short term rates over time?

Here's a link to the US Treasury online website:

http://www.treasuryd...asurydirect.htm

You can buy a variety of things online here, like T-Bills and T-Notes for instance. Yields are not as high as a "high yield money market fund". But if you want safety...this is the place. Treasury securities by the way don't pay state income tax.

IndexTrader

[OEXCHAOS]

Never put safe money in high yield money market fund. A money market is supposed to be liquid and safe. If you want to take some risk, trade the bonds or etf's or stocks. Never reach for yield. I'll just keep saying it. I know you guys know...I hope... Mark

[Rich]

If you were sure that interest rates were going to rise, I think you can short the ETF TLT. This seems a bit risky to me with the economy tanking. I'm guessing that rates will be flat until the fall. Rich