Sentences with phrase «as bonds because»

You generally don't use the same terminology as bonds because bonds are necessarily funded.

With age, however, asset allocations may shift toward safer investments such as bonds because retirement is getting closer and older investors should be more concerned about keeping what they have saved and gained.

Not exact matches

Only two years ago they were rating AAA all the toxic bonds that created the crisis,» said Greek Prime Minister George Papandreou, adding that the downgrade was executed «not because of what Greece is doing but because of the decisions being taken by the EU that are not considered as going far enough.»

As the business sector accumulates more surplus cash, it has the effect of driving down interest rates because there's less demand for corporate bonds and other forms of business lending.

So, it is a very different market than it was 10 years ago, and you're going to see a lot of corporate bond issuance as these infrastructure projects go out there, and you can capture some pretty good yields and you know what you're buying because it's a corporate bond.

In other words, because investors can not generate a sufficient return from low - yielding bonds, they turn to stocks as their only alternative.

Sure, target - date plans are conservative from a wealth perspective because you typically start off with more stock and slowly unload it, which results in purchasing more short - term bonds as retirement looms.

But there are no public financials on Dell since last fall, because the company structured all of its bonds as Rule 144a for - life.

Alternatively, it's best to shorten the average term to maturity of your bond portfolio as interest rates enter into a rising cycle, because the shorter the term, the less their price will be affected.

Beyond the requirements that liquidity and regulators impose on us, we will purchase currency - related securities only if they offer the possibility of unusual gain — either because a particular credit is mispriced, as can occur in periodic junk - bond debacles, or because rates rise to a level that offers the possibility of realizing substantial capital gains on high - grade bonds when rates fall.

«I think the pressure [to increase interest rates] will be there, because the Fed in the U.S. should stop printing money, and taper off as they say,» Mr. Flaherty, referring to the dialling back of U.S. bond - buying, told CTV in an interview aired Sunday.

As to whether so - called bond vigilantes will get tired of waiting for the Fed, Rosenberg said, «The bond markets can't overreact because they are waiting for a signal from the Fed.»

The U.S. can borrow until Aug. 2 after reaching the US$ 14.29 - trillion limit because of «stronger - than - expected tax receipts» and «extraordinary measures» such as suspending the sale of bonds for state infrastructure projects, Geithner said in a letter to congressional leaders.

As social animals we survived because we form bonds, which provide mutual aid.

Hopefully fixed - income investors enjoyed the placidity while it lasted, because that all changed this past week, as corporate bonds became mired in a selloff of their own.

Bonds get their «tax - free» status because the money raised by the bond issue is usually for a «public good or service» such as schools or roads.

Bullard's comments were notable because he was Ben Bernanke's sidekick in pushing the bond - buying program known as quantitative easing that the Fed adopted late last year.

Inflation hurts bond returns because your fixed interest payments aren't worth as much going forward.

The 10 year maturity U.S. Treasury Note (UST 10 yr) is thought to be the primary benchmark for the U.S. bond market because it has the largest issuance and is used as the basis for fixed rate mortgage pricing.

Holding individual bonds is often looked at as being superior to bond funds because you can simply hold an individual bond until maturity.

Many investors think of real estate investment trusts (REITs) as a distinct asset class because, in aggregate, they historically have had relatively low correlation with stocks and bonds.

Many bonds trade at negative yields because the European Central Bank (ECB) and the Bank of Japan (BOJ) continue to buy bonds as part of their management of monetary policy.

That will be important to private investors, because if the central bank held itself out as a privileged bondholder, effectively passing more risk on to other bond holders, other buyers might undermine the stimulus program by demanding higher interest rates.

In fact, long bonds are in the midst of a correction as we speak because interest rates have finally risen over the past couple of months.

And the US government is going to create about $ 2 trillion of new Treasury Bonds and exchange these perfectly good Treasury Bonds that are as good as cash (because you know the government can always print the money), they'll exchange these bonds — cash for tBonds and exchange these perfectly good Treasury Bonds that are as good as cash (because you know the government can always print the money), they'll exchange these bonds — cash for tBonds that are as good as cash (because you know the government can always print the money), they'll exchange these bonds — cash for tbonds — cash for trash.

Other risks typically associated with bond investing, such as default risk and call risk, are mitigated because a bond fund is made up of many individual bonds.

Advice: Because bonds with longer maturity face greater risk of changing interest rates (and greater default risk, as...

People prefer safe investments such as Treasury bonds because they realize that banks have lobbied to deprive victims of financial fraud of their rights.

I also have some investments outside of farming, mostly real estate, but some stocks and bonds as well.Maybe it's just because I'm an ignorant South Dakota farm boy who happens to like open spaces and seeing the stars at night.

Advice: Because bonds with longer maturity face greater risk of changing interest rates (and greater default risk, as well), they typically pay higher interest rates.

This differs from quantitative easing as practiced thus far because the central bank acquires no asset from the government that it could resell to the public in the future, unlike the normal Treasury bonds currently held by the Fed.

Generally, the higher the duration, the more the price of the bond (or the value of the portfolio) will fall as rates rise because of the inverse relationship between bond yield and price.

Because Treasuries are safe, they offer a lower return than riskier debt instruments, such as corporate bonds.

A downgrade in the credit rating of a bond by the credit agencies can affect bond performance as well if institutional investors are forced to sell because of restrictions on the credit quality of the bonds they're able to hold.

As we've also mentioned before — and as this year's bond market behavior emphatically demonstrates — longer - term bond yields don't have to rise just because the Fed is hiking rateAs we've also mentioned before — and as this year's bond market behavior emphatically demonstrates — longer - term bond yields don't have to rise just because the Fed is hiking rateas this year's bond market behavior emphatically demonstrates — longer - term bond yields don't have to rise just because the Fed is hiking rates.

«I think the pressure will be there, because the Fed in the U.S. should stop printing money, and taper off as they say,» Mr. Flaherty, referring to the dialling back of U.S. bond - buying, told CTV in an interview aired Sunday.

That's because many of the benefits of bond ladders — such as an income plan and managing interest rate and credit risk — are based on the idea that you keep your bonds in your portfolio until they mature.

What about the argument that the equity - risk premium (the premium that investors demand over risk - free assets such as government bonds) has fallen close to zero because of greater economic stability?

Many people put more of their investments into bonds as they get older because bonds are traditionally more stable than stocks.

Existing bonds or bond fund values, however, will drop as interest rates rise because investors can get higher rates on newly issued bonds.

We don't want to have too much money in bonds in brokerage because the interests gets taxed as ordinary income.

As you will see, it was actually a two - step tango to income - generating nirvana despite — or actually because of — the sheer terror that gripped even corporate bond investors in those days.

(The ECB does not refer to this as QE because it isn't buying sovereign bonds with their newly printed euros.

An increase in rates will still decrease the price of high - yield bonds but not as much as with other bonds because high - yield bonds follow the economy more closely.

The financing needs coming due in the first quarter «imply that euro area banks will not have extra money as a result of the three - year auction to purchase European sovereign bonds, using a carry - trade strategy, because the amount of fresh cash is less than the amount of bank debt that will mature during the quarter», Powell wrote recently.

Critics don't like the idea of holding bonds, because they see them as priced for a certain fall3.

This is also a popular strategy for people that need passive income because it provides a constant stream of extra income as the near - term bonds mature and return your investment money.

This is not because the market considers them less risky than US Treasuries, but because many municipal bonds are considered almost as safe as treasuries AND they have a big tax advantage over treasuries.

The investor should note that vehicles that invest in lower - rated debt securities (commonly referred to as junk bonds) involve additional risks because of the lower credit quality of the securities in the portfolio.

Treasury bonds (T - Bonds) are issued by the U.S. Treasury and are viewed as the safest investments in the world because they're backed by the U.S. governbonds (T - Bonds) are issued by the U.S. Treasury and are viewed as the safest investments in the world because they're backed by the U.S. governBonds) are issued by the U.S. Treasury and are viewed as the safest investments in the world because they're backed by the U.S. government.