In international commodity trading, who pays for the performance bond? The importer – and importers – are the ones who do it. Unfortunately, many import buyers believe the seller is responsible for the bond. That’s why some industry insiders estimate that as much as $1 billion (US) in commodities is left on the table each […]
What is Ponax Performance, and how does it work? Ponax is a bond fund that invests in high-quality, short-term bonds with a credit risk component. Currently, 70% of the portfolio is AAA and AA rated. The fund’s track record can be found on my blog here. Ponax representatives claim that the bond funds are “tax
Ponax Performance vs Other Bond Funds: Which is Better? Read More »
Why Do Gold Traders Require a Performance Bond? The introduction of the Comex Gold Futures Contract was the first time that traders could speculate on the price of gold without needing to buy the physical metal. Following a study by the Commodity Futures Trading Commission (CFTC), which “concluded that trading in futures contracts for commodity
Who is the issuer of Performance Bonds? Surety businesses are the ones who issue performance bonds. A bond is essentially an agreement in which one party promises to pay another if specific conditions are met, such as the execution of work specified in a contract or the payment of taxes. A Performance Bond ensures that
Who Sells Performance Bonds and How Much Do They Cost? Read More »
When is a performance bond used? This is one of those insurance policies that lingers in the back of our minds as something we hope never to use. A performance bond is a contract between two parties, usually buyer and seller. One party hires another party for some type of job or service then requires