Roadhouse Financing Inc. 10.75% of 10/15/2017

Roadhouse Financing Inc. recently sold for $965.00. It has a yield of 11.789%. The Standard and Poor’s rating is B- and the Moody’s rating is B3. The CUSIP No. is 76972KAC3. If the bond holder purchases this bond at the recent price, (recently $965.00) on Oct 15 2013, they would get $35 in appreciation on Oct. 15, 2017 plus $107.50 per year or $430 in interest. That is a total of $465.00 for a $965.00 investment. That is a total return of 44.56%.


Roadhouse Financing Inc. was acquired by LRI Holdings, Inc. Roadhouse Financing Inc. was incorporated in 2010 and is based at 3011 Armory Drive, Suite 300 Nashville, Tennessee 37204. LRI Holdings, Inc. engages in the development and operation of Logan’s Roadhouse restaurant chain under The Real American Roadhouse brand name in the United States. As of July 29, 2012, it operated 220 company-owned restaurants and 26 franchise-owned restaurants in 23 states. The company was founded in 1991. The company has 15,000 Employees.

I would invest in this bond if I wanted to save for some big ticket item about 4 years from now like a new car. You know that your car will give out sooner or later. Here is a good way to save and accumulate money for that car. This is also the type of investment young or old that you should have in your IRA. The money is accumulated tax deferred.  

****

As of July 5, 2013, the stock market is coming off a mild correction. The bond market went down as well. This is because the Federal Reserve announced that the economic stimulus will end soon. That means that interest rates will go up. This hurt the stock market and made opportunities for bond investors.

Bond investors can buy bonds at a higher interest rate and keep them to maturity. My long term bonds fell to where I am only making 4.172% year to date and 259.394% for the last 3.5 years. But keep in mind, my strategy is to hold bonds until maturity so my only threat to my money is company bankruptcy.