Apple's $12BN corporate bond...

nicko31

Well-known member

Jan 7, 2010

17,596

Gods country fortnightly

• Feb 17, 2016

• #1

http://www.bbc.co.uk/news/business-35589959

Why you ask when a company is so rich does it need to raise $12BN in a bond issue?

Simple, they don't want to bring it onshore and pay the tax. Taking advantage of low rate and hoping for a change in tax law, just plain wrong..

 

Gazwag

5 millionth post poster

Mar 4, 2004

30,145

Bexhill-on-Sea

• Feb 17, 2016

• #2

Although the investors will pay tax on the interest the receive (depending where they live)

 

The Maharajah of Sydney

Well-known member

Jul 7, 2003

1,366

Sydney .

• Feb 17, 2016

• #3

Apple's market timing has been impeccable.
Look at their track record, they've absolutely nailed it each time.


The greatest bond trading company of all time may also make cell phones...

 

happypig

Staring at the rude boys

May 23, 2009

7,962

Eastbourne

• Feb 17, 2016

• #4

The Maharajah of Sydney said:

Apple's market timing has been impeccable.
Look at their track record, they've absolutely nailed it each time.


The greatest bond trading company of all time may also make cell phones...

View attachment 72451

Click to expand...

I have absolutely no idea what that means. Is it a good thing or a bad thing ?

 

The Maharajah of Sydney

Well-known member

Jul 7, 2003

1,366

Sydney .

• Feb 17, 2016

• #5

happypig said:

I have absolutely no idea what that means. Is it a good thing or a bad thing ?

Click to expand...

For Apple it is a wondrous piece of trading.
They've managed to borrow massive amounts of money at the low point of each interest rate cycle.

 

Bigtomfu

New member

Jul 25, 2003

4,416

Harrow

• Feb 17, 2016

• #6

The Maharajah of Sydney said:

For Apple it is a wondrous piece of trading.
They've managed to borrow massive amounts of money at the low point of each interest rate cycle.

Click to expand...

But these aren't true cycles as the FED has done nothing to manipulate rates on the 10Y.

Good trading yes but never try to catch a falling knife.

 

Lower West Stander

Well-known member

Mar 25, 2012

4,753

Back in Sussex

• Feb 18, 2016

• #7

Apart from the leveraged play on USTs I do wonder about buying a long dated Apple bond.

How does anyone know about their business that long forward? Fine if you can trade it but in buy and hold?