Sentences with phrase «asset loses its value»

When a business owner buys a fixed asset, that asset loses its value over time, and so its most current value must be accounted for on the company's balance sheet.
As a result, nearly all assets lose value.
Inevitably, this is made painfully clear when a bubble pops and those once popular assets lose value and the manager's clientele suffer.
Instead, they often spread their wealth out over a variety of different investments so they don't take as much of a hit if one asset loses value.
Because options are a decaying asset they lose value (time premium) as each day passes.
Other assets lose value with unexpected inflation (debt, utilities).
Annaly and American Capital Agency's assets lose value when interest rates rise, so margin calls are not out of the question.
These structured products are the same as regular Strategic Accelerated Redemption Securities, except that investors lose money if the reference asset's return is too high and earn a pre-specified yield if the reference asset loses value.
Once the asset loses value, the investor can repurchase the asset and pay back the broker with it.
And prices may decline further, embittering new owners who see their prized asset lose value.

Not exact matches

When the Bitcoin price peaked at $ 20,000 in December, the value of Mt. Gox's assets (by then including Bitcoin derivatives such as Bitcoin Cash) ballooned to $ 4.4 billion — nearly 10 times the amount Mt. Gox said it lost in the first place.
This was after the volatile asset lost a quarter of its value in January, briefly dropping below $ 10,000.
That way, if your company loses value or even goes under, you'll still have sheltered a portion of your household's assets,» Ballentine says.
Strong performers can keep rising, and it works in the other direction, too: Assets that have lost value may continue to do so.
Stock in structured - finance firm Coventree lost more than half its value Tuesday after it said various Coventree - sponsored trusts could not fund maturities of Canadian asset - backed commercial paper due to what it called a «market disruption.»
3) You want to own real assets because money is only a medium of exchange that loses value every day due to inflation.
You shouldn't use home equity to pay for depreciating assets like cars, which begin losing value the moment you buy them.
These financial products track the price of an underlying asset (in this case, bitcoin) and gain or lose value relative to that base asset.
And a short sale is a specific sale that tries to capitalize on an asset perceived to be about to lose value.
Instead of the usual investment risk of your principal decreasing in value, with cryptocurrencies, you may lose your crypto assets entirely.
The once - powerful institution — in 2007 it was the fifth largest U.S. bank, with $ 400 billion in assets — was among the earliest warning signs of a broad economic meltdown that would ultimately result in the stock market losing nearly half its value.
The results add weight to warnings from analysts that fossil fuel assets are at risk of losing their value and becoming «stranded» as the world transitions to cleaner energy sources.
While this means they can control a larger amount of assets with a smaller amount of money, traders have the ability to lose more than the value of their assets and cash.
It's just the dollar losing value, not the assets rising in value.
People's paper assets primarily stay the same while everything else goes up in value, so most investors are losing money and being left behind by not investing in assets that keep up with inflation.
Assets owned by Americans lost about a quarter of their value.
Investors don't want to own an assets that's likely to lose its value over time, after all.
The house has lost sentimental value and is now just a handsome property that's just a financial asset.
Mr. Paulson defended his «troubled asset relief program» (TARP) by claiming that «illiquid mortgage assets... have lost value... choking off the flow of credit that is so vitally important to our economy.»
Model 1 - Preservation of Capital Asset allocation models designed for the preservation of capital are largely for those who expect to use their cash within the next twelve months and do not wish to risk losing even a small percentage of principal value for the possibility of capital gains.
If your portfolio is well diversified with assets that tend to perform differently from each other — international stocks, small company stocks, large company stocks, bonds and real estate — then when one asset class is losing value, you can rely on holdings in another asset class that are more stable or perhaps increasing in value.
Language, like money under inflationary conditions, loses its value as a medium of exchange when issued in excessive quantity and without regard for the real assets underlying it.
Arsenal manager Arsene Wenger is not keen on losing his prized asset who is valued at around # 35m but with the circumstances, it would be smart if Wenger allows Ox to move on.
A data set like that is a wasting asset: it starts to lose value as soon as you create it, unless you can enrich it with more data.
3 July 2017 A financial crisis is any of a broad variety of situations in which some financial assets suddenly lose a large part of their nominal value.
Loans secured by your home will generally have lower interest rates, approximately 3.5 % to 6.5 %, than loans secured by the solar panel system, which range from 3.5 % to 13.24 %, because the borrower can repossess a larger asset with more value — your home — to recover the full balance due rather than a solar system that has likely lost part of its value over time.
How does asset allocation work in a depression (the same terms used this time to describe the economic downturn are similar or exactly as those used in the 1929 downturn) when millions of people have lost significant value?
If assets have lost value during the original owner's life, the tax basis is stepped down to date - of - death value.
However, investors need to be aware that in a crisis these assets will likely lose value along with the broad stock market: in 2008 — 2009, all these asset classes suffered double - digit losses.
do you think people are gonna sit around and watch their dollars and euros lose value, or are they going to seek protection in hard assets (not that worthless paper gold and silver)
(Yes, during conditions of hyperinflation that boundary disappears, but that's because they are already losing value already each day from holding the formerly «safe» transactional asset.
This means that if the borrower defaults, they could lose their home or the value of the assets secured against the loan.
In order to determine how much liability insurance you need, consider the value of all of your assets that could be lost if someone files a lawsuit against you.
As a case in point, Grantham and his team lost half their assets under management in the late 1990s when value lagged growth.
The likelihood of a bank or other lender losing money on its investment increases when the value of the asset decreases.
Changes in the value of a derivative may not correlate perfectly with the underlying asset, rate or index, and the Portfolio could lose more than the principal amount invested.
In part II, you were informed that value investing is a risk - averse strategy that seeks to identify undervalued assets — bargains — that offer margins of safety based on the Dhandho - mantra: «Heads, I win; tails, I don't lose much.»
If the price of the chosen asset never reaches the pre-determined value then you will have placed a losing trade.
Your account is invested in assets that may lose value.
If you own things denominated in dollars, those assets will lose value under inflation.
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