What is the best way to short foreign (non-US) govt. debt (bonds)?

Discussion in 'Investing' started by Venom08, Dec 9, 2016.

  1. Venom08

    Venom08 Active Member

    Joined:
    Apr 3, 2016
    Messages:
    94
    Likes Received:
    70
    Let's just say that the bond bubble will be much much larger than the 2007 housing bubble and I want to profit off it.
    Reasoning:
    The Fed has two scenarios:
    1.) Don't raise rates but pensions crash.
    2.) Raise rates but government debt explodes due to interest payments sucking them dry.

    http://www.investopedia.com/financia...ent-bonds.aspx

    Here's how money can be made:
    "Bonds are subject to interest rate risk. Interest rates and bond prices are inversely correlated. When one goes up, the other goes down. This may not matter if an investor buys and holds a bond to maturity. In this case, it would collect the scheduled coupon payments and receive the face value when the bond is repaid."

    Bold is why they will crash. Nobody will have the confidence to hold long term debt because socialism and governments are collapsing. The people are rising up against the establishment and status quo corrupt politicians who tax them to death.


    So my question is this: How can I, if possible, through my broker TDAmeritrade short government debt in say emerging markets?
     
  2. StockJock-e

    StockJock-e Brew Master
    Staff Member

    Joined:
    Apr 3, 2016
    Messages:
    9,549
    Likes Received:
    3,547
    Good question.

    There must be some ETF out there that has options, lets look around!
     
    Venom08 likes this.
  3. stock1234

    stock1234 2017 Stockaholics Contest Winner

    Joined:
    Apr 3, 2016
    Messages:
    5,592
    Likes Received:
    4,622
    EMB is the most popular and the most traded ETF for the emerging market bonds I believe
     
    Venom08 likes this.
  4. internationalstocks

    internationalstocks Active Member

    Joined:
    Apr 3, 2016
    Messages:
    378
    Likes Received:
    143
    In Asia the banks are pushing their clients to buy US Bonds lol..
     

Share This Page