I think that at some point, ICE and CME are going to be excellent plays. When interest rates start rising or even if we get a serious hint that they are heading north, the options and futures markets are going to go crazy, imo. While rates are low and "boring", I think these two companies are simply biding their time. No rush but they should be watched or put on watch lists when the conditions change in the future.
With this in mind, people who have money in bond funds need to consider moving out of them when it appears that rates are going to go up. Once again, no rush but at some point it will be time to move out of one of the better investments over the past decade. Particularly retired folks who don't really manage their portfolios should be told to consider this kind of change sometime down the road. It will be relatively obvious to those of us who follow the market closely but "Aunt Jenny" should be warned once the warning flags are flying......
JMO |
