This article was based on information written in this article below called "Cheney's Betting on Bad News" which I am printing out below:

Kiplinger's Personal Finance Magazine


Vice President Dick Cheney's financial advisers are apparently betting on a rise in inflation and interest rates and on a decline in the value of the dollar against foreign currencies. That's the conclusion we draw after scouring the financial disclosure form released by Cheney recently.

As of the end of last year, Cheney and his wife, Lynne, held between $10 million and $25 million in Vanguard Short-Term Tax-Exempt fund (VWSTX, news, msgs) (it's impossible to be more precise because the disclosure form lists holdings within ranges). The fund's holdings of tax-free municipal bonds mature, on average, in a little more than a year -- meaning that the fund should hold up well if rates rise.

The Cheneys held another $1 million to $5 million in Vanguard Tax-Exempt Money Market fund (VMSXX, news, msgs), which is practically risk-free and could benefit from continued increases in short-term interest rates. And the couple had between $2 million and $10 million in Vanguard Inflation-Protected Securities fund (VIPSX, news, msgs). The principal and interest payments of inflation-protected bonds rise along with consumer prices, making them good inflation hedges.

The Cheneys also had between $10 million and $25 million in American Century International Bond (BEGBX, news, msgs). The fund buys mainly high-quality foreign bonds (predominantly in Europe) and rarely hedges against possible increases in the value of the dollar. Indeed, its prospectus limits dollar exposure to 25% of assets and the fund currently has only 6% of assets in dollars, according to an American Century spokesman.

The Cheneys' total assets could be as high as $94.6 million, according to the disclosure form. The vice president's advisers say the vice president pays no attention to his investments. His lawyer, Terrence O'Donnell, says outside money managers supervise the investments. "He has nothing to do with it," O'Donnell says.

Well, Chris, let's see. Looks like on total assets of about $95 mil, the Cheneys are holding about $20 mil in cash and near cash, about $15-20 mil in bonds, say (?) $15 mil in real estate, and the rest in, I'm assuming, stocks.

Gee, looks like a pretty well balanced portfolio to me.

But you know, Kiplinger has columns to fill, and there is always room for "interpretation..."

Rand

Aynrandlives---Did you read the article.

10-25 million in a European bond fund that will be enhanced by a weakened dollar. Did you see that part? Why bother--why post anymore to you. You wouldn't read it anyway--then there's that comprehension problem.

I posted this weeks ago and all I got was an explanation from Vernon, (Expert on everything) about how Cheney's finance team was doing the right things...hell I know he is...they are selling us on this "wonderful" "strong" economy all the time they know it's not as it appears.

This is exactly what I have been screaming about forever. Tax cut dollars are being invested outside the US. The wealthy are deserting the ship because they don't believe in America any more even while they play the "patriot" card about the war in Iraq. Put you patriotism where you money is.
Every dollar invested outside the US hurts this country more than burning an American flag does. Economic woes for Americans cause more divorces than gay marriage ever could.

"...about how Cheney's finance team was doing the right things..."

I sure as hell hope so. It would mean my analysis of the numbers are correct.

I read this when it came out and have to admit, felt pretty good when I realized my investments mirrored Cheney's. 'Cause I've got to believe he's got access to a lot more info than me.

From the article: "His lawyer...says outside money managers supervise the investments. "He has nothing to do with it," O'Donnell says."

O'Donnell means with the active investing, i.e., Cheney probably didn't specifically choose American Century's International Bond Fund.

But don't believe for a minute Cheney doesn't give the investment team the benefit of his "insight".