Sentences with phrase «accept bonds rated»

About half of institutional investors could already accept bonds rated below A - in their portfolios.

Not exact matches

Although the retailers have been negotiating with bond holders, who have accepted significant discounts and offered longer terms, the basic financials are enough for Moody's to rate 13.5 percent of the retailers it follows as a Ca or Caa credit risk.
Western allies press Trump to maintain nuclear deal with Iran: Reuters US intelligence monitors Iranian cargo shipments into Syria: CNN A trade war is a major risk for China's debt - ridden economy: CNBC Federal judge orders gov» t must accept new DACA immigration applications: WaPo Unification of Koreas still unlikely as leaders prepare to meet: Reuters US Consumer Confidence Index rebounded in April after March decline: CB New home sales in US increased to 4 - month high in March: MarketWatch Richmond Fed Mfg Index turns negative for first time since 2016: Bond Buyer S&P Case - Shiller Home Price Index surged in Feb, up 6.3 % y - o - y: CNBC Federal Housing Finance Agency: US house prices continued to rise in Feb: HW Corp bonds with lowest investment - grade rating look vulnerable: Bloomberg 10 - year Treasury yield reaches 3.0 % for first time since 2014: CNN Money
We simulate failure rates if today's bond rates return to their historical average after either 5 or 10 years and find that failure rates are much higher (18 % and 32 %, respectively for a 50 % stock allocation) than many retirees may be willing to accept.
We have a rule which says we can't accept bonds below a certain threshold, explains Mr Draghi, but the ECB decided that if some conditions are in place, then the bank can expect the bonds will be rated above this level.
The Conference believes that analytical techniques that are widely - accepted by the capital markets, such as those used by the rating agencies to evaluate the financial stability of municipal bond insurance companies, should be drawn upon to estimate the appropriate subsidy cost.
Investors are willing to accept lower returns on bonds in exchange for safety, but near - zero interest rate levels have traditional bondholders seeking yield elsewhere.
Thanks to lackluster global growth, and rock - bottom interest rates in the United States — and even negative rates in other parts of the world — investors face the choice of either accepting lower income or increasing risk in their bond portfolios in the search for yield.
The unconstrained strategy can be thought of in two ways: always trying to earn a positive return with high probability (T - bills are the benchmark, if any), or being willing to accept equity - like volatility while the bond manager sources obscure bonds, or takes large interest rate or credit risks.
The specific balance of stocks and bonds in a given portfolio is designed to create a specific risk - reward ratio that offers the opportunity to achieve a certain rate of return on your investment in exchange for your willingness to accept a certain amount of risk.
dear srikant nhpc has already raised 1500 crore by issuing bonds tomorrow though private placement with coupon rate of 8.50 so can we accept similar coupon rates in upcoming taxfree bond 2015
In other words, if the buyer's bid was accepted, he would pay less than the current bond holder did when the bond was first issued, because prevailing interest rates are now higher than 5 % on similar tax - exempt bonds.
If the investor then reinvests this principal in bonds again, chances are that he will be forced to accept a lower coupon rate that is in line with the prevailing (and lower) interest rates (called «interest rate risk»).
Alas, for years bond investors have been accepting rates that in many cases don't even match inflation, and this represents one of the great investment challenges of our time.
Will bond investors be more accepting of tapering in the future, without sparking such a violent reaction in rates to the upside?
The bonds of companies with the best credit ratings (typically designated «AAA») pay lower interest rates as a rule because investors will accept lower yields in return for reduced risk.
However, because of the current interest rate environment, the analysis of stocks vs. bonds in Articles 6.1 and 6.2 suggest that stocks (and now we can more specifically say «stock funds») are a better choice in the long run if you are seeking higher returns and are willing to accept somewhat higher risks.
At the other end are bonds, CDs and the like, which are exceptionally safe investments, but the trade - off means accepting a lower rate of return.
If we accept the premise that interest rate forecasts have no value, we can think about bonds in a different way.
On Sunday the Fed also expanded the list of collateral it will accept for loans at its discount window, to include even equities; and dealers may lend any investment - grade security, not just triple - A rated, to the Fed in exchange for Treasury bonds.
In fact, if you look at what investors have done in the bond market because they wanted to chase stability and were averse to volatility, they have actually accepted the certainty, because we know what interest rates are today on the 2 - year, 10 - year and 30 - year bonds — that's the given, therefore it is certain that those interest rates will be what the coupon says they are.
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