Sentences with phrase «bond market»

The phrase "bond market" refers to a marketplace where bonds are bought and sold. A bond is a type of loan or debt issued by governments, municipalities, or companies to raise funds. In the bond market, investors can buy these bonds, effectively lending money to the issuer. In return, the issuer promises to make regular interest payments and repay the original loan amount, known as the principal, at maturity. The bond market is a crucial part of the overall financial system and provides an avenue for both investors and issuers to meet their needs. Full definition
Nonetheless, dealers will remain the key liquidity providers in bond markets for the foreseeable future.
If you hold bonds in a taxable account, consider the tax - exempt funds instead of the total bond market index funds.
Additionally, you might choose an array of bond market indexes, commodity indexes, and indexes that focus on international securities, which all have different risk profiles.
Since the bottom of corporate bond market in the 2002, corporations have enjoyed stronger profits and free cash flow.
I became involved actively in the municipal bond market in the early 1970s when I was asked by a municipal bond counsel firm to research how the securities laws apply to municipal bonds.
The easiest way to do that to invest in a total stock market and a total bond market index fund.
-- Value may still be found in global bond markets as interest rates may remain lower for longer and inflation is not a near - term concern.
It's tough to prepare for bond market changes in advance because, as you can see, what works in one market environment doesn't necessarily work in another.
I've gotten a huge number of emails and questions on bond market liquidity in the last few months.
This was more liquid than the comparable high yield bond market activity levels of $ 6 billion.
Ultimately, a bond ETF's performance will be dictated by the mix of its exposure to interest rates, credit spreads, currencies, credit quality and slices of global bond markets.
The European government bond markets are reacting to the possibility that an agreement may not be made and are choosing to play it safe.
But the stock and bond markets don't affect annuity income.
The index represents typical duration for the broad investment grade bond market.
Total Bond Market ETFs focus their investments on the entire fixed income market.
The book was written in 1991, after the junk bond market collapse, and contains a decent amount of criticism of the era.
It is an indicator of Canadian bond market returns.
That is one reason why I am skeptical of the run in the high yield corporate bond market at present.
The global green bond market yield and duration are today quite close to those of the global core fixed income market.
Regardless of the climate challenge, policymakers and development banks in developed and emerging economies are facilitating more cities to tap into bond markets for their infrastructure requirements.
Many investors think of the stock and bond markets when considering where to put their money.
This provides a simple way to understand a lot of the worries about bond market liquidity as it relates to banks and corporate bonds.
As a result, the overall bond market returned almost 4 % a year from 1987 through 1990 after inflation.
Has any financial story been more relentlessly covered in the last few years than the market's worries about bond market liquidity drying up?
In 2015, for example, the stock market returned roughly 1.4 %, while the broad bond market gained about 0.6 %.
European bonds markets had a lot to take in last week.
Covers the stock and bond markets over the short - term, generally over the next few weeks using standard technical indicators.
All have a larger proportion of corporate bonds than the overall bond market index.
Similarly, measures of bond market volatility are also benign.
And the past 31 years has been the biggest bond market rally in the history of the world.
One can compare these two to the trunk of a tree, with the mortgage bonds market being a large branch of that tree.
For the first time, the kingdom will tap international bond markets to make up for lost oil revenues.
You can buy nearly the entire stock and bond markets through index funds.
Bond markets today present investors with multiple challenges, including lower yields and more risk than in the past.
In particular, she noted her expectations for the future of the municipal bond market which included hundreds of billions of dollars in defaults within the next five years.
It's less relationship - driven than the corporate bond market because there are fewer products to trade, making it more prone to automation.
That makes understanding the municipal bond market more difficult, even for counsel accustomed to corporate securities regulation.
For example, when stocks lost 37 % in 2008, the broad taxable bond market gained more than 5 %.
Bond markets move based on the expected change of economic indicators such as growth and inflation, which will determine the bond value to the investor.
Sustainable investing may have been dominated by stocks in the past, but that may be changing as the green bond market continues to become more attractive to both retail and institutional investors.
The auction - rate bond market included municipal issuers.
The simplest passive investing portfolio contains only two funds — a total domestic stock market fund and total domestic bond market fund.
Covered Bond Market Covered bonds are debt securities backed by cash flows from mortgages or public sector loans.
These are typically income - producing equities, such as utilities and consumer staples, which tend to act like bond market proxies.
Yes, there had been bad times every time the junk bond market crashed, and troubles with commercial mortgages 1989 - 1992, but the industry had not learned its lessons yet.
Municipal bond market performance should benefit somewhat from the final tax bill.
This is particularly true in the corporate bond market where credit spreads (the gap between treasury and corporate borrowing costs) have remained close to all - time lows.
A study of the index returns revealed two interesting facts on the Chinese bond market volatility.
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