Abstract: Share the reasons of buying US bond LUMN 7.995 06/01/36 of Lumen Technologies and share my views.
Today I am sharing with you about the transaction that I made on May 27. The details are as follows:
- Company: Lumen Technologies
- Bond: LUMN 7.995 06/01/36
- Face coupon rate: 7.995%
- Maturity date: June 1, 2036
- Bought face value: US$2000
- Bought bond price: US$83.81
- Commission fee: US$2
- Bond yield: 9.96%
Reasons of buying Lumen Technologies corporate bond
I haven’t increased holdings of U.S. bonds for a long time. One of the reasons is that because I know that the general direction of the United States is to raise interest rates, that is, the attractiveness of U.S. bonds will decrease, so fewer people invest in bonds, which leads to a fall in bond prices. But seeing that U.S. debt has fallen by a certain extent. In addition, the rating of this US bond is still BA2/BB from IB, which is very attractive, so I decided to use the passive income recently received by the portfolio to increase the holdings of this US bond in order to increase the income return of the portfolio.
Comments and sharing
If you have any questions, please feel free to leave a message or comment below, I will reply you. Or if you find anything incorrect in the article, please let me know and learn from you. If you find it interesting or it may help you in any sense, please share with other people.