450. i don't know if it stays that way until the end. [closing bell ringing] >> hit a 479 as the high. david: netflix is hot. liz: the bells ring on wall street. looking at stocks today. a little difficult to find direction here. we have the dow jones industrials losing steam about 31 points. nasdaq down six points much the russell down just a fraction of the s&p 500, 1843 was the number. the number to beat is the 1848 for the all-time record, david. david: individual stocks, this is day you want to look at individual stocks. some of them, we were talking netflix, we were talking tesla. earnings as well. dreamworks is coming on this hour. you don't want to miss it. we'll give you front page headlines. u.s. single family home prices rising slightly more than expected in december. s&p/case-shiller index gaining .08%.

they were expecting 6%. liz: to brothers saying severe winter weather was to blame for that. david: consumer confidence dropping this month amid concerns about the future performance of the economy. the conference board's index of consumer attitudes dropping to 78.1 from downwardly-revised 79.4 in january. liz: did you see home depot's stock today? surging after the world's largest home improvement chain reported higher than expected quarterly profits. the company kept a tight rain on david: t-mobile us after, the wireless company that calls itself the uncharacter in the bat well at&t and verizon says the fourth quarter loss widened. company's growth in new customers was offset by the cost of acquiring them. liz: huge setback for bitcoin. mt. gox, once the dominant trading platform for the virtual currency has gone off light, quiet, shut. other exchanges trying to reassure bitcoin users saying

there are bad actors out there that needed to be weeded out. bitcoin prices standing at last check, $516 per bitcoin. "after the bell" starts right now. david: we have craig hodges, hodges fun ceo. christian ma goo, yield shares ceo and founder how he is playing the bond market. larry shover from the pits of cme. larry, are you a believer in this market? seems we're divided more than ever for those that say we'll continue to go up 10% and those at that say expect another correction. >> i do not expect another correction. in fact i am a believer. my end target for the year is.

we're eye guessing -- digesting. traders want to know how we negotiate the 1850 space, very, very important. keep in mind to have a 10% correction in the market we need to so some type of stretched valuations which we clearly do not have or a macroevent which i don't see in the cards right now. liz: craig, you like the small cap space. small and mid-caps which are performers. how long does this continue? where is the most attractive part of it right now? >> you know the nice thing about small caps,, i feel like there are always opportunities there. at hodges capital we have more ideas than money. we have new opportunities and thing about small caps in slow growth environments companies look for new growth vehicles. we have several companies just this year get bought out

already. liz: signet was the big deal with the zale's news. how many more opportunities are out there in your opinion. >> they are out there. a lot of companies we're following think that in the next cycle, peak of the next cycle, earnings can be 170 more than the previous cycle. a lot of that is not factored by the street. we do see these opportunities. david: christian you think the n the next 10 months. why? >> i think there is plenty of room for this rally. surely we've bonn gone up 17% since december or since 2009. we're not at a top where everyone thinks that the gilo political situation, the federal reserve situation, monetary policy in us is all good. there is a lot of worry. bull markets tend to climb a wall of worry. we have up side as much as ten% boeing into the end of the year. david: you say we'll move up 10%

based on negative perceptions in based on climbing a wall of worry? there has to be something more substantive to your wishes? >> bull markets end in tops where there is consensus, consensus things will continue to go forward. we're seeing with that last pullback some concerns the market may be overvalued. bull markets tend to climb this wall of worry and i'm more interested there isn't consensus that we're going forward to new highs. that there is some tension here. and i think that alone, just from a technical perspective bode well for the market. >> larry, doesn't seem like there is a lot of fear anymore. that passed really quickly in january after the 6% decline. the volatility index is getting closer to dipping below 14. what do you infer from that? often when there is complacency the market top. do you believe that at this time if. >> you know, i do because i think what happened. looks likes emerging market problem or perceived problem,

the debt ceiling and also valuations these were all manageable risk that is we had to deal with. in my mind they were the three major drivers of us dropping 6% in the market. people realized they are manageable things. things that could be taken care of. you couldn't paint emerging markets with a broad brush, hence we go higher. revisions are going higher. revenues in the last earnings season have been decent, not great. i think there is still too many hater in this market. this wall of worries does make sense. liz: indeed. david: craig, you make a lot of sense. you're looking for businesses with high barrier to entry, defense companies, steel companies, airlines. that newcomers are not likely to get into. >> simply from making mistakes getting into hot industries too

competitive. there are a lost industries, rails and you mentioned the other ones, that have high barriers of entry. when you have no competition you're able to raise your prices which of course helps margins. you know that is, our favorite idea right now is american airlines, one of them, and the street's way below what they're going to be able to earn once this integration of us air is complete. there is many, many situations like that we see out there. liz: well, craig picks individual names like the ones on the screen, christian, you go for etfs. in a way i like the opportunity for etfs because you can buy baskets of opportunity but let's narrow this down. dividend trade, for example. you still believe it is alive and kicking? does it get better and if so what is the play there. >> liz, i like really two different plays there. i really like blending dividend income with growth. so the first one is the first trust nasdaq technology dividend etf, tdiv.

basically technology companies, telecom, traditional tech that are paying dividends. yet the dividend are not as high as some of the high dividend strategies but you get the growth found in technology. the other is the vanguard dividend appreciation etf, vi-g. this is more of a broad-based approach to companies consistently growing their dividends. both of these dividend growth strategies which protect against a potential rise in interest rates and inflation. david: chris i have to ask you about emerging markets. you suggest one fund, emerging global shares. aren't you a little worried about emerging markets based on what happened past couple months? >> yes. i think there are definitely worries. i think some of those worries put certain areas of emerging markets on sale. i think you can't paint the brush totally to say they're all going down the tubes. this is an area that has a lost opportunity. i like econ. it is emerging market consumer etf. so it focuses on leading

consumer goods and services companies, serving emerging markets. we know the middle class is growing. they want to be like us. buy washing machines, have checking accounts. that will continue to be a strong play in the emerging market area. liz: christian, craig, larry shover, larry we'll check back in with you in a few minutes ffr the s&p futures close. thanks to all of you. disagreement, insults and a whole lot of attention. last summer a huge battle began between the heads of the world's largest bond firm, bill gross and mohammed el-erian. we look at the turmoil from the author of the article that unveiled it all. david: right on front page of "the wall street journal." a heck of a article. companies making a lot more @n profits, you know that, but they're passing on less than that profit to investors in the form of dividend. that may be about to change though. we have the story where and how much certain sectors are about to up the ante big-time. liz: we want to hear from you.

so billionaire carl icahn talked to us last night on this show about his growing battle with ebay among other companies. does icahn help or hurt the companies he targets as an activist? tweet us @fbnatb. do your homework first. look at the stock since he got involved and what happened afterwards. we would love to hear from you. ♪ ♪ [ bell rging, applause ] five tech ocks with more than a 10%... change in after-market trading. ♪ all the tech stocks with a mark cap...

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david: dreamworks numbers are out. as you can see it is trading down after-hours. it missed on revenue. analysts were expecting 223 million on revenue. it got 204. in terms of eps, earnings per share. there are a lot of details. to find out exactly what the eps is but overall numbers do not please investors after-hours. it is trading down 5% right now. liz: they're waiting to look what the performance will be of "mr. peabody and sherman." david: this is serious stuff. liz: "how to train your dragon" ii. david: millions of dollars. the apparel site, zulily, is that how you pronounce it. liz: yeah. david: zulily jumping to nearly three times its november ipo price. liz: nicole petallides on the floor of the

new york stock exchange. i remember when this went public. >> that's right t wasn't that long ago. back in november it was a $22 ipo. today it closed up 36% and hit a record high of 63 bucks this ipo, the folks hot on zulily pretty happy about it. it is emcommerce. they sell apparel and home goods. their direct market awed joins is -- audience is mom and kids. their sales doubled from a year ago. it's a seattle-based company. over in nevada they're looking at new warehouse space to double their existing space to over 700,000 square feet according to the ceo. a stock certainly one to watch. a great ipo. this year up about 40%. and they talk about ipos in the space that may seem likely. wear fair, which is -- way fair, another online seller of home goods hired bankers to advise it on a ipo maybe that will be another one we'll look this

space, liz and dave. david: thank you, nicole. liz: s&p futures are closing. let's head back to larry shover in the pits of the cme. hi, larry. >> hello. traders are trying hard to hold on to their nerve because things do not make sense right now. we crossed three formidable, potentially formidable headwinds in january. caused us to ratchet down and back up 6%. we have news out of ukraine, turkey. seems localized. our economic data is marginal at best. however we tend to climb higher. things don't make sense. people keep thinking that 10-year yields will be 3.5%. utility stocks are outperforming the market. i encourage everybody to hold on to the nerve right now. things are not collapsing. it is cooling off, waiting for next direction in the market. liz: calm your nerves larry says. >> calm your nerves. you're welcome. david: companies are becoming more profitable as they slim down to take advantage of low interest rates they're not being

that generous to stockholders that seems counter intuitive because global dividends pass ad trillion dollars last year, making it a record year in dollar perms but this is much less in percentage terms than it used to be. s&p dow jones senior index analyst howard silverblatt is hear to tell us if and how that might change. howard, we're always reporting about new dividend increases here and there we have it all the time in 2013. we're seeing more in 2014. you point out in percentage terms it is much lower than it should be, right? >> companies are basically paying out about 36% of what they make. so if every dollar they give you 36 cents as the holder. traditionally since 1936. it is 52%. while you're getting more, the percentage is lot less than what the company is making. they're being less generous and choosing not to be generous. they are got the cash but

they're being a little stingy. david: why, howard? simply because they make so much profit because of these low interest rates and squeezing their operations? >> well partially it is the nature of dividend. once i give you a dividend, increase the dividend, i have to keep paying it every quarter. it is a check in the mail. it is cash flow. you can't say it is pro form ma. it has to clear the bank of the once they commit to that they have to keep going forward. companies are still concerned you can see it in the spending. they are making more money, spending more money but sales are not good so far this year. 2.6% increase. that is also not a lot. david: are they nervous about holding any kind of debt because of what happened in 2009 and 10. >> not that they're showing. we're seeing obviously outside of m&a debt, we're seeing companies take on debt longer term. it is so cheap. debt is extremely manageable within the big caps. interest rate is very low. that is helping by the way, eps.

at end of the year i do it twice a year, actually, i figure out how much they are making on their money and how much they pay on the interest. it is pretty low on there. david: howard, if in fact they're going to get back up to that historic level of dividend payouts that could mean that their stock value could go up. very often stocks rise as they increase dividend. can you tell us where we might be likely to see dividend rise? >> well, there are several factors that come in here and several types f you look at a company that increased four or five years in a row, chances are they will continue it. it is part of their culture. you don't need a history of 25 years on that. so far the s&p 500 increase, we estimate over two thirds will inclose. david: let me stop you there. these are historically high dividend payers like telecoms an utilities, right? >> they're historical, they historically pay an increase each y not necessarily as a utility and telecom.

utilities and telecom are the biggest yielders. telecom yields most, mostly because at&t and verizon. at&t is 5.6. verizon is 4.6 or so. they make up 80% of that group. utilities average 3.9%. those are higher yielders and that is where dividend investors typically go. they are steadier. stocks are not moving as much and some degree you understand the biz model. utilities ha to have electricity whatever you're using. telecom whether a cell phone or landline it has to work when you pick it up. david: howard, where should people chasing dividend be looking then? telecoms and utilities are nothing new. what are the new comers in had market? >> biggest payer right now is, is information technology. they pay the most but most of the them stay away from there. it is very dangerous area because the stocks are very volatile. consumer discretionaries are big

payers. but staples is very stable on there. they don't go down as much. they don't go up as much. we see a lot of action in there. we see utilities, also on the fund. if you don't have the ability to seven, eight, nine stocks together. you have to know how it is made up so it is not geared toward one group. if you don't have enough seven or eight stocks, you want someone to manage it, you give a little on the return and go into a fund. we're seeing a lot of that, what we're not seeing and we're happy about, people running into the highest yielding stock. that is usually sign of trouble when the company is yielding away from competitors. david: what is a steady stock, not in trouble, that may have higher dividend going up? i was looking for example, a couple of oil stocks. dutch shell for example. >> energy does have, is traditionally historical one. chevron,. >> on. these companies have increased every year for decades. usually they do it around march and april. so there are cycles to it. what you need to look for are

companies that again, have increased several years in a row, have good cash flow, not just earnings. again dividends are a cash flow item. sufficient cash from operations -- david: by the way we're looking at apple there. excuse me for interrupting of. one of the stocks we're looking at is apple, no one has more cash than apple but dividend is pretty low. do you expect it to come up? >> we expect it to come up for several reasons. outside pressure put on. you see that in the buyback, $14 billion in two weeks. they hold the record for largest number of buybacks. i think it is $12.50, even increase you need to measure risk against apple. not saying it is good or bad. most dividend investors shy away from taking risk. tradeoff you're making risk/reward. apple is still technology and a lot of technology they gear away from outside of adp and ibms. david: howard, you proved axiom,

there are no solutions only tradeoffs the way it works in this field. howard silverblatt, thanks for coming in. >> thanks for having me. david: liz? liz: david, you may not realize, you the investor have one major advantage over billionaire warren buffett. yes, we talked with a man who came up with a buffett based investing model for the individual investor of the he has five stock picks you definitely want to hear about. what happened inside pimco, the world's largest bond firm when co-founder bill gross scared off with former ceo mohammed el-erian? we talk to"wall street journal"r who got the inside scoop. it is a fascinating tale of power an money. ♪ ♪ we asked people a question, how much money do you think you'll need when you retire? $500,000. maybe half-million. say a million dollars.

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liz: time for a quick speed read of some of the day's other headlines, five stories, one minute. first up, linkedin launching a chinese language site that will comply with china's censorship rules. linkedin which has four million users in china, using the english service, says it sees a potential market of 140 million professionals in china. ben bernanke planning a memoir that will span his eight years as chairman of the federal reserve. reports say bernanke will focus on the 2008 financial crisis and the great recession that followed. blackberry launching a smartphone aimed at southeast asia. the new device, david -- david: the blackberry z 3 is what it is called. of the will go on sale in indonesia for less than 200 bucks. facebook is closing e-mail service. the network company is phasing it out due to lack of participation. taco bell rolling out new

breakfast menu on march 26th. it will include a waffle taco and bacon eggs and hash brown version of tortilla-based crunch wrap. [buzzer] ug. some people like it. not for me. front page of "the wall street journal" features inside look at showdown between pimco co-founder bill gross and then ceo mohammed el-erian. you want to pay attention. most of you have been involved in pimco at some point. they have literally trillions of dollars. the battle began as losses mounted and clients pulled millions from the huge bond firm. with us the man with the inside scoop and greg zuckerman from our cousins at "wall street journal." author of the new book, frackers, inside story of wildcatters. we want to have you on when that comes out. this is fascinating. bill gross, el-erian, getting literally hundrees of millions a

year from the company, is that right. >> right. david: they worked for the company 10 years before. >> off and on is off and on. what caused the blowup, because starting this summer it appeared they couldn't stand each other? >> pimco always has been a difficult place to work even relative to other firms and it got even nastier i would argue over the past year. listen the bond market had pressure and pimco itself came under pressure and i think it exacerbated some existing tensions. david: they had blowups in frond of the other people. those are many solve your inside sources. >> historically there have been bloops or tension behind the scenes. for the first time mohammed and bill in front of others shocked colleagues and traders on the trading floor and got into it. mohammed, my understanding he didn't want to take it anymore. he was worth a lot of money. senior guy. well-respected on wall street by many so got to ain't to he couldn't take it anymore. liz: this happens all the time in every business, right? why is this more interesting i think? we know that huge amounts of

money involved make it titillating but what made this difference? >> they manage two million dollars. all kind of endowments and retirement programs for people. going forward people have concerns. when you talk to investors. they're worried, he is 69 years old. david: bill gross you're talking about. >> bill gross, still doing a great job. make that clear. they are worried about the future. with mohammed the heir apparent leaving people are concerned. they have a lot of stars there. it was argument within the firm and outside the firm he hasn't shared enough power. we'll see if he does. david: isn't it simple? it is easy to get along with somebody making money hand over foot. when you start to lose money when bill gross's fund did in 2013, when everybody was making money hand over foot, tempers fly and tempers flare. >> other people in the bond market weren't. you could say the difficult market for exacerbation -- david: there is bill gross's fund, down 1.9%. >> right. liz: one of the fascinating

points in your article when there appeared to be an argument in front of a lot of people between bill gross and mohammed el-erian, bill gross said, i've done this, what have you done. >> yep. liz: did he bring him in as ceo? he knows what he has done. >> ceo and heir apparent to him. funny because in his view he always had respect for mohammed. when you talk to people close to bill gross he doesn't know why mohammed left. when you talk to people close to mohammed he took a lot from bill gross and didn't want to. everybody in the firm taken a lot. the way they operate. it worked really well, whether it will going forward continue to do so. david: you mentioned $2 trillion of assets they manage. so many people have money through pimco they may not realize it through their pension fund. what happens to pimco? this is major important to our economy. could thissfriction that caused el-erian's departure, lead to problems, fundamental problems for the company? >> keep in mind they're not doing worst than the rest of the

market. done better than others in the bond market. the question will they continue to outperform. i would argue, bill gross and people internally are saying thii, he needs to allow others to operate internally more. if you disagree with bill gross, he gives you a hard time. one of the cases hey you have a little too much of certain bonds in your portfolio, maybe you want to lighten up, bill says buy me more. he can't continue to do that according to people within the firm and outside. liz: pimco, with all its money and many of our viewers who are watching right now probably owned a bond fund there at some point or another, they're going into equities. are they systematically krush here? are they too big to fail. >> let's not go overboard. they're not failing. but potentially will underperform. so far they haven't. the question is about management and whether they continue to get this winning streak, whether it will continue or not. they're huge. you can't underestimate the importance to your viewers, to the markets in general. everybody watched, wants to know what they're going to do next.

with him at 69, not willing historically to share as much power as he could, it will be really interesting to see what happens going forward. let me make the.clear. they have a lot of stars there they have a lot of talent. the question is whether he will allow them to have some power. david: you can't overestimate this story and can't overestimate importance of natural gas in our economy which is the subject of your book, the frackers. it is now out. penguin is the publisher "the frackers." billionaire wildcatters. i want to read the book and have you on to talk about that. >> sure. david: greg zuckerman. liz: read his stuff. it is always great. david: sure is. liz: making huge bets on stocks you want to buy. we have someone who says you, yes, you, have one leg up on @uffett when it comes to buying stocks. you can do this scooping up stocks berkshire hathaway won't touch. we have five picks you can't afford to miss. david: also, bitcoin, what is going on with bitcoin?

did somebody hack into it? rumors as much as $300 million may be missing, a leading bitcoin exchange, mt. gox goes off-line without explanation after halting withdrawals, due to quote, unusual activity. we'll get to the bottom of it coming right up. ♪ [ male annncer ] legalzoom has helped start over 1 million businesses.

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liz: billionaire warren buffett regarded as arguably the smartest investor of all time, at least one of them with a fortune close to $60 billion. he has got direct access to some of the most influential names in business and politics but there's at least one advantage, an individual investor like you, yes, you, has over warren buffett and it's a very big advantage. joining me now to tell you what it is in a fox business exclusive, john reese, valid capital ceo, known as the guru investor. this is fascinating and gets people's attention certainly. i have an investment advantage over warren buffett? >> you do indeed. liz: what is that? >> warren buffett's empire is so big and his $90 billion stock portfolio so large he can only invest in a few large sized companies to still have impact on his portfolio whereas you the individual investor can still follow the methodology that he uses and pick much smaller stocks that he can't possibly

invest in. liz: tell people why he doesn't or quote, can't invest in smaller cap companies. >> because if he invests, tries to buy 50% of a one billion dollars company, he will either drive up the stock price extremely much. if he purchases it won't have impact on portfolio at all, maybe a percent of his portfolio it goes up. liz: he has to invest in coca-cola last and american expresses of the world. lately he has has gotten into names that are not mega, megacap. let's put up on the screen some of the smaller cap companies he owns. as we look at the names how low can he go or what is the threshold? >> the thresh hold is really closer to 20 about billion dollars company. mind you he has a couple of new managers that work for him invest in smaller sized portfolios. they can and do. liz: media general, 1.5 billion

market cap that. that is pretty small. >> in terms of investments. liz: you're talking about todd combs, ted wexler the two investment gurus he brought on to the investment team. >> yeah. liz: see how we harness the advantage we have over warren buffett. >> i used a model based on what warren buffett has done from his ex-daughter-in-law, mary buffett. put together the best book that how warren buffett picked stocks. i computerized that particular model. among other things it looks for 10 years of increased earnings. it looks for long-term debt to be paid off with a few years of earnings as well. and many other criteria. liz: okay. >> within that, it is possible to select quite a handful of stocks that fly into the radar, that still meet those warren buffett criteria. david: now this is important. warren articulated he looks for companies he understands with quality management that are trading at a cheap price but you're going into more detail, outperforming the treasurys.

i would like what we had on the screen. put that up again so people get a better sense. we'll put it on your facebook.com/afterthebell page. that is basically screening. stocks. anyone can do that on a website, right? >> they can do that on a website but requires more sophistication. you're looking for stocks that increased earnings over past 10 years that can dip a little bit. you're looking for the dips. liz: you have names that fit into those parameters. hibit sports is one of them. raven industries. we can put them up on the screen so people can write them down. >> yeah. liz: first cash financial services. and bio reference laboratories. what is the common theme here? >> common theme, each of those companies increased earnings at least nine of the last 10 years. they have return ons greater than 15%. liz: these are not household names at all. >> that is exactly right. liz: keep them up, everybody.

quickly talk about what some of them do. bio reference, fourth largest full service lab. >> that's right. liz: do you like like a fundamental, oh it can capitalize off increase patients from obamacare sort of thing. >> that is comes part of its projection over the 10-year history. one of the key things is, does it have solid enough earnings history that you can rebly by project next 10 years. liz: do you care about dividend. >> dividends are not essential factor. liz: not an essential factor. warren buffett said, coke, whatever. he makes a lot of money. >> right. liz: we're going to put all of john's picks that he says actually work for this kind of effort and it faces nating to see. thank you so much. >> you're very welcome. liz: we want to thank john reese. thank you very much. >> okay. david: mt. gox, which was once the world's largest trading platform for bitcoins has gone dark. hundreds of millions of dollars that have been gambled on the digital currency could be at

risk. liz: jo ling kent joins us now from the newsroom. jo, look i hesitate to say fatal blow to bitcoin. we had matthew mellon, big investor in bitcoin saying it's a buying opportunity of the he is a investor but he makes a point could be growing pain. >> it is possible there is lot of flux and issues at stake. reputation of bitcoon already shaky in the suspension of mt. gox. ceo telling reuters the exchange is at a turning point of the question as you said, what happens next? earlier today the exchange issued a brief statement saying quote, decision was taken to close all transactions for the time-being in order to protect the site and your users. we will be closely monitoring the situation and will react accordingly. that is from mt. gox. we reached out to them but no response on exactly what the team is trying to protect its users from. this morning after the site appeared to be dark, coin desk, which puts out the bitcoin price index, they found a line of

source code embedded in front page of the mt. gox webb sight, put announcement for mt. gox, acquisition here. this has twitter aflutter and bitcoin investors discussing who might actually be interested in acquiring something that is had such a run south or perhaps maybe this is about the departure of the ceo and handing over of the exchange. this is all conjecture. meanwhile six other top exchanges trying to separate bitcoin overall from mt. gox saying its act trysts are a tragic violation of the trust of the users of mt. gox. this is comes as unconfirmed document continues to circulate alleging hackers stole up to 6% of all bitcoins in circulation. this caused mt. gox to halt withdrawals as of february 7th as you know. outside headquarters in tokyo a handful of protesters asking if they will ever see their money again. so very interesting developments. we continue to put pressure on mt. gox. we're trying to get every bit of

information we can. >> fascinating story. jo ling kent, we appreciate it. >> where did the money go? david: $350 million. liz: with just a few days until the end of the month, february is on track to see record inflows. where? into bond etfs. they already hit the $16 billion mark. but are there risks and if so where should you really be putting your money? strt... ...return on investment isn't the only return i'm looking forward to... for some, every dollar is earned with sweat sacrifice, courage. which is why usaa is honored to help our members with everything from investing for retirement to sing for college. our commitment to current and former military members and their families is without equal. there's this kid. coach cal. she's kind of special. she makes the whole team better. he's the kind of player th puts the puck, she makehorsehide,e team better.

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david: we have breaking news from the department of transportation. they are mandating that there be

shipments to test all the oil products from the bakken region, the bakken shale region. hundreds of millions of gallons of oil are coming out of that region to various parts of the country. you may remember there was an explosion in quebec not long ago that killed 47 people and that was involving an oil shipment. so the department of transportation in the u.s. wants to make sure that all the oil shipments are devoid of any risk of explosion. this is just breaking. we'll continue to give you information as we get it. liz? liz: with just a few days left in february, this month is on track for the largest monthly gain in pond etf inflows ever. -- bond etf. they have taken in nearly 16 billion in through february 21st. will these inflows continue and what bond etf is the safest for your money? david: joining us etf trends.com editorr good to see you. we by the way, just had a "wall street journal" reporter talking about the implosion at

pimco and one of the fund you mentioned, not the only one but one of the funds you mentioned is administered by pimco. isn't there a risk as you should not be getting in just as the bond market is imploding? >> well, the bond market is not imploding and i will not say pimco is exploding. let's say this. bill gross is very competitive guy. i met him personally. he has ticker symbols of other competing etfs right on his screen. so he is very enthusiastic about what he does. i don't know about the inside baseball that your last guest talked about but i wouldn't run away from pimco anytime soon. they are fabulous managers with a very deep bench. david: okay. liz: the herd, tom, is notoriously late. when we see they're all rushing into bond fund that scares me and we do want to advise our investor viewers in the best way possible, you don't want to paint every bond fund with the same brush. there are convertibles.

there are all kinds of things you can participate in. what is wrong, what's right? what will get you yield? >> well, that's it, liz. after 30% in equities last year and a big correction in january, a lot of investors took risk off, weren't into bonds. etfs are the place they went because there are some choices. you can go from treasurys and munis, corporates, high yields and across the pond there are plenty of choices as well. but with that in mind there are some risks involved. as you point out just because the fed and yellen seem to be in a fairly easy monetary mode right now, doesn't mean yields can go up. when the yields go up the value of you know lying bonds go down in value. one thing, keep duration short. as long as you keep duration short that's key. david: all those you recommend we want to get to your picks quickly are the short maturity bonds. pimco, that is mimt.

>> right. david: guggenheim enhanced short duration etf. what does that mean, enhanced short duration? >> both of them are actively managed so the duration is short, less than a year on both but yields compared to money market fund are tremendous of the so you've got a guy like bill gross and folks over at guggenheim are doing a good job mixing in higher yields bond that have a short duration that can produce these yields. then finally the advisor shares, paridis actively managed, look at yield, over 7 1/2% yield for duration that is a little over 2 1/2 years, pretty favorable and got a "morningstar" five-star rating too. so active management in etfs are really coming into favor. liz: tom, you're always in favor with us. thanks for being with us. david: you give us good advice. tom, thank you. liz: we'll put all of tom's picks on our facebook page so

definitely check that out. large pickup trucks are the among the biggest drivers for american automakers, great margins, all kind of positive but why are some being sold for thousands of dollars less than the break even point? we take you live to gary, indiana,,to find out if we're seeing the beginning of a price war in the auto industry. can you start tomorrow? yes sir. let's share e news tomorrow.ht. today we failrly busy. tomorrow we're booked solid. we close on the house tomorrow. i wantne of these opened up. because tomorow we goive... it's aay full of promise. and often, that day arrives by train. big y today? even bigger one tomorrow. when csx trains move forward, so does the rest of the econy.

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liz: take a look at general motors. it is down more than 11% so far this year on concerns the auto giant is holding fire sales for full-sized pickup trucks. david: is the recent selloff in gm's stock overdone or a warning sign of more price wars to come? jeff flock, live in gary, indiana, for us. jeff? >> test driving trucks, guys, today, out in the indiana dunes natiooal lake shore. take a look at the snow. we have already gotten a couple of them stuck today, one of my own. this is the ram 1500. am is about to come out with a new diesel version. there is lot of competition in the truck space. you look at gm down another percent today. i have joe the executive editor of cars.com with me. joe, i tell you, gm, when we look at incentives, look at them on the board, they're incentivizing these vehicles more than they're making on them. how can they do that. >> probably incentivizing close to what they're making on them. it is unfortunate.

partly because sales are down because of winter. especially of pickup trucks because home building has been curtailed for the same reason. it is unfortunate especially for gm because they have a brand new chevy silverado and gmc sierra. >> this ram, we're testing is an old truck. the f-150 is an old truck. the competition they should be winning this big and they're not right now. >> really bad timing for them. as you said the ford f-150 is being redesigned for 2015. for them to have incentives on the f-150 is not a big deal. >> only positive, liz and david. the average transaction price of the silverado and gmc right now, take a look at numbers. better stop before i get it stuck again, look at average transaction prices, still plus 40 grand which is a positive. david: jeff, thank you very much. by the way dreamworks is trading down still. it is down about seven 1/2% right now. liz: they are taking it right down from "turbo" the, movie did

not do as well as it hoped to do. melissa francis conducted great interview on that very subject with jeff katz send berg. it is on foxbusiness.com. meantime "the willis report" is next. david: we'll see you tomorrow.

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gerri: hello, everybody, i'm gerri willis. right now on "the willis report", big changes are many coulding to the student loan market. banks are lending again but the move is causing trouble elsewhere. also, cheating on your taxes. when is it okay to fudge the numbers just a little bit? and "consumer reports" is here with its annual list of best cars. and only one brand gets top marks. we're watching out for you on "the willis report."