Sentences with phrase «bond investments because»

Bond funds are often preferred over individual bond investments because they have lower minimum entry points, spread risk among multiple investments, and are more liquid.

Another casualty could be bond investments because the escalating rates on new bonds make current bonds less appealing, and investors start selling them.

Not exact matches

Russ Koesterich, BlackRock's chief investment strategist, recommended emerging market sovereign bonds because of the relatively low debt of the countries issuing them.

Under its current asset - buying and lending tool, the BOJ limits the duration of government bonds it buys to three years because it wants to push down the cost of borrowing for companies, many of whom work in three - year investment cycles.

Allan Small, a senior investment adviser at DMW Securities, has avoided government bonds for the past few years because they pay so little.

Investment manager Third Avenue announced plans to liquidate its high - yield - bond mutual fund, and it said it would ban redemptions because it was unable to exit positions quickly.

At the moment, the ECB can not purchase Greek bonds because they do not have an investment grade rating.

«Japanese investors, because they have a hard time getting ahold of those bonds, they're increasingly looking for alternatives,» said Brian Nick, chief investment strategist at Nuveen.

Open - end bond mutual funds — the most common type of bond fund — are among the most treacherous investments because they can collapse.

The hedge fund would break even on its debt investment if the Berkshire bid prevails because gains in some parts of its debt holdings, which would be paid out in full, would offset losses in the unsecured bonds it holds, where it would take a deep haircut, the people said.

Rates affect bond investments, but they also affect all other investments in some form or another because higher rates mean that investors have other options in which to invest (dividend and REIT investors know this all too well in the recent rate increase).

My question is, our financial adviser advised against contributing more than what my husband's company will match in his 401K because they only match $ 900 / year and the investment options are very basic — Bond (Fixed Income) or Large Cap (equities).

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.

To implement our long maturity exposure, we use the iShares iBoxx Investment Grade Corporate Bond ETF (LQD / NY) because we also wanted exposure to the U.S. dollar.

Rieder said money is flowing to stocks in part because there's not enough fixed income supply in the world, a function of central banks buying bonds and crowding out private investment.

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.

Most investors experienced some financial pain during that time, but some fled both stocks and bonds and went entirely into cash because they couldn't stand watching their investments plummet.

Because investors are being asked to assume this risk, high yield bonds tend to come with higher coupon rates, which can generate additional investment income.

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

So, saying «cash» is a terrible investment because of inflation, completely ignores the other risks involved in holding stocks and bonds.

Because bondholders receive a fixed interest rate and get paid before stockholders, bonds are safer investments than stocks.

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.

Companies with excellent to low credit ratings issue investment - grade corporate bonds, which have lower interest rates because of the safety of the investment.

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.

We value investors argue that fixed - income investments are risky and artificially overpriced because of government intervention in the bond market.

Because investments from gold to bonds and stock are priced to include expected inflation rates, it is the unexpected changes that produce this risk.

This is because investors are worried about rising interest rates, something that makes investment in utilities less attractive compared to bonds and other high yield stocks.

Inflation is bad for mortgage rates because it eats into investor returns on fixed - rate investments like mortgage bonds.

I don't want to mislead in this article because the investments I will be discussing are a bit riskier than FDIC insured certificates of deposit or government bonds.

«A typical investor who is investing in a fund such as the iShares Core U.S. Aggregate Bond ETF (AGG A-98) may want to hold on to that investment, because even in a rising - rate environment, they are going to get the diversification benefits of that exposure,» Tucker said.

I don't invest in bonds because my investment horizon is longer than 5 years.

It is a crucial American ally not only because Israel is the leading military power in the Middle East and a technological powerhouse with more venture capital investment than the whole of Europe (the instrumental dimension of Augustinian realism) but also because of the deep ties between the American founding and the Jewish religion and the strong bonds between Israelis and America's 6.4 million Jews (the moral dimension).

Anyone can buy those bonds, and they're considered to be safe investments because the United States has not yet defaulted on paying back those bonds.

Government bonds of economically stable countries like the United States are rather popular financial investment to safely «park» unused capital because they are relatively safe and provide a guaranteed interest rate.

But Kremer says the portion of the Bond Act that would go to build new classrooms for pre-K programs and get kids out of trailers would be a good use of the money, because it would be a long - term investment with long - term benefits.

Because the fund's investments in covered bonds may be secured by a pool of financial assets that include mortgages and public - sector loans, the fund may be indirectly exposed to the risks posed by mortgages and / or public - sector loans.

Because bonds offer fixed interest payments at regular intervals, they may be appropriate if you want regular income from your investments.

The idea behind asset allocation is that because not all investments are alike, you can balance risk and return in your portfolio by spreading your investment dollars among different types of assets, such as stocks, bonds, and cash alternatives.

High - Yield bonds are a smaller portion of the typical fixed - income investment portfolio, because they have much more default risk.

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.

Because bonds are a safer investment, you shouldn't see too much volatility in terms of the value of your account; it'll be relatively stable.

Many investors think that because bonds pay a set amount of interest, they are risk - free investments.

Because bonds have different risks and returns than stocks, owning a mix of stocks and bonds helps diversify your investment mix.

Better yet, this investment has been done without Uncle Sam taking a portion of it because all of the interest from the bond has been tax - free.

Because the pattern of risk and returns from bonds and short - term investments is different from stock market returns, adding them to a portfolio of stocks may mitigate some of the overall volatility you experience.

Another difference is that bonds are based on a defined term (maturity) because since they are simply borrowing external funds to them to finance long - term investments.

The value of these bonds will depend on the credit rating, and because of this there are higher risk levels associated with these investments.

Bonds are thought of as a very safe investment compared to stocks because their principal amount doesn't change.

Maybe because of the shorter term nature of when you need that money, plus the way that it's taxed, maybe you hold more conservative investments your fixed income or your bonds over there.