we have business that we introduce foreclosed properties in japan.
now,we can get about 7 percent of yield in real estate investment in city area.
but we know that yield of national bond of united state is around 7 percent.
if this is true, american people will not invest in japanese property.
because, you can get 7 percent by safer investment in national bond.
if this is true, you do not have to take risk in japanese property.
is this true that you can get 7 percent from safer investment ?
Or investment in national bond of united states is risky than investment in japanese property ?

 
  • zeuz 1:07 pm on March 1, 2010

    The U.S. treasuries are earning about 3.5%, not 7%.

  • muncie birder 1:07 pm on March 1, 2010

    Yes, about 3.5% on long term bonds. Shorter term about 2%. But there is a another consideration. That is the relative value of the two currencies, the Yen and the Dollar. The Yen has been appreciating against the Dollar for just about as long as I remember.

  • mikee 1:07 pm on March 1, 2010

    us bonds are at usually between 2 to 3% rarely at 5 but Cd’s are floating around 6% and are guaranteed and insured