Typically in rising rate environment, stocks have historically outperformed traditional bonds.1 The Fed will generally raise interest rates to cool a growing economy and stocks usually continue to appreciate during this time.
Typically in rising rate environment, stocks have historically outperformed traditional bonds.1 The Fed will generally raise interest rates to cool a growing economy and stocks usually continue to appreciate during this time.
Not exact matches
As such, traditionally defensive sectors, like utilities and telecommunications,
typically become increasingly vulnerable
in a
rising rate environment due to their existing large debt positions.
In contrast, dividend growers have tended to outperform in a rising rate environment and typically have more stable payout ratio
In contrast, dividend growers have tended to outperform
in a rising rate environment and typically have more stable payout ratio
in a
rising rate environment and
typically have more stable payout ratios.
Rate reset preferred shares, which account for a big share of Canada's overall preferred share market,
typically do best
in an
environment of stable or
rising rates.
Dividend growers are
typically supported by quality companies with strong balance sheets and tend to hold up well
in rising rate environments, according to BlackRock research.
In a
rising interest
rate environment, investors
typically purchase certificates of deposit with maturities of one year or less.
Dividend growers are
typically supported by quality companies with strong balance sheets and tend to hold up well
in rising rate environments, according to BlackRock research.
Rate reset preferred shares, which account for a big share of Canada's overall preferred share market,
typically do best
in an
environment of stable or
rising rates.
Typically, bonds are far safer
in terms of how much they can fall relative to equities
in your portfolio, even
in a
rising interest
rate environment.
In contrast, dividend growers have tended to outperform in a rising rate environment and typically have more stable payout ratio
In contrast, dividend growers have tended to outperform
in a rising rate environment and typically have more stable payout ratio
in a
rising rate environment and
typically have more stable payout ratios.
Rates are fixed, unlike credit card interest rates which typically are variable and can go up in a rising - rate environ
Rates are fixed, unlike credit card interest
rates which typically are variable and can go up in a rising - rate environ
rates which
typically are variable and can go up
in a
rising -
rate environment.
This could be a good play if interest
rates continue to
rise as Lifecos
typically do well
in a
rising rate environment.
«The theory is when you're
in a
rising interest
rate environment, that's
typically a signal of a stronger economy, and that reduces default risk and improves the relative performance of those non-core fixed - income assets,» he says.
(ETF Trends: Jan 20, 2017) ETF Trends» Max Chen said that
in a
rising rate environment, bond investors
typically gravitate to short - term bonds to diminish interest
rate risk.
Generally speaking, the appeal of leveraged loans
in a
rising rate environment is the floating nature of coupons — as interest
rates increase, the base
rate (
typically 30 - 90 day LIBOR) also increases, providing market participants with a way to minimize interest
rate risk while also generating extra income.
The Fund's investments
in shorter duration high - yield bonds and floating -
rate loans may help provide investor portfolios» a level of protection
in a
rising -
rate environment, as investments
in the Fund's universe have
typically performed with low correlation to traditional bond markets.
A Real Estate Play That's More Than «Location, Location, Location» «One type of investment that's
typically shunned
in a
rising interest
rate environment is real estate investment trusts, or REITs.
Lock -
ins make sense
in a rapidly -
rising rate environment or when borrowers expect
rates to climb during the next 30 to 60 days, which is
typically the amount of time a lock -
in remains
in effect.