WAG & CVS Bond vs Net Lease Comparison

Where to invest is a question on many people's minds today. Many are seeking to mitigate risk and avoid the costly mistakes of the past while still owning a lucrative investment.

By Jonathan Hipp | Updated on August 08, 2013

Where to invest is a question on many people’s minds today. Many are seeking to mitigate risk and avoid the costly mistakes of the past while still owning a lucrative investment. As such, a growing debate has emerged about where best to place capital. Although some would dismiss real estate as too costly; closer inspection reveals a well of opportunity.

Let’s say you were looking to invest in either Walgreens bonds or real estate earlier this year (Walgreens rated BBB by Moody’s). A 10yr issuance that was done in March of 2009 has maturity date of 2019. It pays a coupon of 3.10% and is priced at $94.10; you would receive a yield to maturity of 3.87%, and an annual yield of 2.31%.

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