Sentences with phrase «bond ratings measure»

Bond ratings measure the safety of a particular bond.
The bond rating measures the financial strength of the company issuing the bond, and its ability to make interest payments and repay the principal of the bond, when due.

Not exact matches

Their profit margins are roughly measured by the difference between mortgage rates and the banks» own costs of borrowing, which is approximated by the Bank of Canada's five - year benchmark bond rate — about 1.2 %.
Already, the bond yield curve, which measures the difference between short - term interest rates and long one, has been rising.
Rating service Moody's tracks covenant quality, essentially a measure of standards that bond issuers must meet, and reported Thursday that the latest reading remains near record highs, which indicates weak restrictions.
Bond duration, a measure of interest rate risk, is near benchmark levels.
Duration is a measure that helps estimate the amount the price of a bond will rise or fall in response to changes in interest rates.
Duration, the most commonly used measure of bond risk, quantifies the effect of changes in interest rates on the price of a bond or bond portfolio.
Similarly, when it comes to your bond investments, consider varying maturities, credit qualities, and durations, which measure sensitivity to interest - rate changes.
Represents the corporate and government - related sectors of Bloomberg Barclays Global Aggregate Bond Index (which provides a broad - based measure of the global investment - grade, fixed - rate debt markets) and is considered representative of global investment - grade debt.
Barclays U.S. Aggregate Bond Index is a broad - based, market - value - weighted benchmark that measures the performance of the U.S.dollar - denominated, investment - grade, fixed - rate, taxable bond marBond Index is a broad - based, market - value - weighted benchmark that measures the performance of the U.S.dollar - denominated, investment - grade, fixed - rate, taxable bond marbond market.
«I'm similarly impressed by the fragility of our economic system, even though it's been reinforced with so many heavy measures by governments around the globe, ECB bond - buying programs and zero interest rate policies here in the U.S., for instance.»
Yields can be measured in a number of ways, including coupon yield, or the stated interest rate of the bond, and yield to maturity, which is the total rate of return when an investor holds the bond to maturity.
Duration is a measure of a bond portfolio's sensitivity to changing interest rates.
Duration, expressed as a number of years, measures a bond's interest rate sensitivity: The higher the duration, the higher the interest rate risk.
Remember, duration is a measure of a bond's sensitivity to interest rate changes.
Think of it as a measure of a bond's sensitivity to interest rates.
The Bloomberg Barclays Rate Hedged U.S. Aggregate Bond Index, Negative Five Duration measures the performance of Investment Grade securities and is selected by a Market Value process.
For individual investors, duration is primarily used as a measure of a bond fund's sensitivity to prevailing interest rates.
Real interest rates implied by the yields on indexed bonds, as well as the real lending rates derived using various measures of inflation expectations, are also slightly below their long - term averages.
The yields on these extremely short - term vehicles just about disappeared as the Federal Reserve's program of bond - buying, known as Quantitative Easing, and other aggressive monetary policy measures drove down rates.
Bank of America Merrill Lynch raised a total of $ 2.6 billion in investment banking fees in the US last year, when it benefited from a boom in junk bond underwriting as corporate issuers rushed to take advantage of low rates ahead of the Federal Reserve's plans to withdraw stimulus measures.
The GIC, a group of seasoned investment professionals who meet regularly to review the economic and political environment and asset allocation models for Morgan Stanley Wealth Management clients, expects the economy — as measured by gross domestic product, or GDP — to grow, but at below the rate to which we have become accustomed, based on prior second - stage recoveries; stock and bond returns will likely follow suit.
BarCap Aggregate Bond Index - A broad - based benchmark that measures the investment grade, U.S. dollar - donminated, fixed - rate taxable bond market, including Treasuries, government - rated and corporate securities, MBS (agency fixed - rate and hybrid ARM pass - throughs), ABS, and CBond Index - A broad - based benchmark that measures the investment grade, U.S. dollar - donminated, fixed - rate taxable bond market, including Treasuries, government - rated and corporate securities, MBS (agency fixed - rate and hybrid ARM pass - throughs), ABS, and Cbond market, including Treasuries, government - rated and corporate securities, MBS (agency fixed - rate and hybrid ARM pass - throughs), ABS, and CMBS.
2 Duration measures a bond's price sensitivity to interest rate changes.
Even without any selling, the value of the fund's share price would fall (roughly as a function of the fund's average «duration», a measure of interest rate sensitivity that is a related to a bond's maturity).
Interview with the Bond's King Jeffrey Gundlach in an interview at CNBC said that «when it comes to what effect the Fed quantitative easing measures or the interest rates tightening...
Spreads between corporate bond yields and swap rates, which are a measure of the market's credit risk perceptions, have fallen slightly since the previous Statement (Graph 43).
Another indicator of financial conditions is the slope of the yield curve, as measured by the spread between the yield on 10 - year bonds and the target cash rate.
While the combination of rapid credit growth and below - average interest rates suggests that financial conditions remain expansionary, the slope of the yield curve, as measured by the spread between the yield on 10 - year bonds and the cash rate, suggests a somewhat different picture.
In late October, Dominion Bond Rating Service (DBRS) decided to keep Portugal's sovereign rating at investment grade, maintaining the country's BBB (low) rating with a «stable» outlook on the back of its progress in reducing the fiscal deficit and proactive measures to strengthen the banking sRating Service (DBRS) decided to keep Portugal's sovereign rating at investment grade, maintaining the country's BBB (low) rating with a «stable» outlook on the back of its progress in reducing the fiscal deficit and proactive measures to strengthen the banking srating at investment grade, maintaining the country's BBB (low) rating with a «stable» outlook on the back of its progress in reducing the fiscal deficit and proactive measures to strengthen the banking srating with a «stable» outlook on the back of its progress in reducing the fiscal deficit and proactive measures to strengthen the banking sector.
Looking back over the past 25 years, a period of low and stable inflation, stock / bond correlation has generally moved in tandem with monetary policy, as measured by the effective federal funds rate.
Duration measures how sensitive a bond's price is to changes in interest rates — higher duration bonds experience bigger gains and losses in response to a change in interest rates.
Law said bond rating agencies threatened downgrades if the measures were approved and counts a Fitch upgrade of LIPA this year as among his accomplishments.
«To construct / renovate classrooms, restrooms / school facilities to improve the quality of education at Brittan Elementary School, build a gymnasium for school and community use; repair, construct, acquire classrooms, sites and equipment, shall this Brittan Elementary School District measure be adopted to issue $ 4,000,000 of bonds at legal rates, levy approximately 3 cents / $ 100 assessed value, generating approximately $ 260,000 annually while bonds are outstanding, with annual audits, independent citizens» oversight, NO money for salaries, all money staying local?»
To repair aging classrooms, ensure student health, safety and achievement and keep pace with technology, upgrade aging plumbing, electrical, lighting, heating / ventilation, safety / security systems, shall this Hawthorne School District measure be adopted to repair, construct, acquire classrooms, sites / equipment, and issue $ 59,000,000 in bonds, at legal rates, levy on average 3 cents / $ 100 assessed value ($ 3,000,000 annually) while bonds are outstanding, require independent audits / oversight, and all money for local schools?»
Moody's warned Boston and three other Massachusetts cities that passage of a ballot measure to expand charter schools could weaken their financial standing and ultimately threaten their bond ratings.
Instead, you start with a risk free rate in a currency where you believe that the government bond rate is a reliable measure of the risk free rate (US Treasury Bond, German Euro Bond) and then add to this number the differential inflation rate between the US dollar and the local currebond rate is a reliable measure of the risk free rate (US Treasury Bond, German Euro Bond) and then add to this number the differential inflation rate between the US dollar and the local curreBond, German Euro Bond) and then add to this number the differential inflation rate between the US dollar and the local curreBond) and then add to this number the differential inflation rate between the US dollar and the local currency.
In layman's terms, duration is a measure of the sensitivity of a bond's price to changes in interest rates.
It measures what the return on a bond is if it is held to maturity and all coupons are reinvested at the YTM rate.
Investments in bonds issued by non-U.S. companies are subject to risks including country / regional risk, which is the chance that political upheaval, financial troubles, or natural disasters will adversely affect the value of securities issued by companies in foreign countries or regions; and currency risk, which is the chance that the value of a foreign investment, measured in U.S. dollars, will decrease because of unfavorable changes in currency exchange rates.
Duration measures bonds» direct exposure to interest rates.
In addition to the standard measures, I look for companies with good bond ratings, which are the best single measure of a companyâ $ ™ s creditworthiness.
A bond's sensitivity to interest rates is measured by what's called «duration.»
The Barclays US Aggregate Bond Index is a broad - based flagship benchmark that measures the investment grade, US dollar - denominated, fixed - rate taxable bond marBond Index is a broad - based flagship benchmark that measures the investment grade, US dollar - denominated, fixed - rate taxable bond marbond market.
This measure of price sensitivity towards interest rates is called a bond's duration.
An insurer's credit rating, similar to a bond's rating measures their financial strength and ability to meet future obligations.
To do that, you need to look at corporate bond funds with a similar duration, which is a measure of sensitivity to interest rate risk.
It measures the percentage change in bond prices due to a one - time across - the - board 1 % inverse change in interest rates.
It doesn't matter if you measure risk by standard deviation of returns, beta, or credit rating (with junk bonds).
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