Sentences with phrase «bond portfolio yielding»

More diversified bond portfolios yield closer to 3 %.

Not exact matches

He started in high - yield bonds and went on during the internet boom to turn a million dollars in patent acquisitions into a portfolio of software intellectual property worth $ 150 million.

Gundlach predicts that both high - yield bonds and a portfolio of mortgage - backed securities could return about 6 percent in 2013.

However, rates have retreated from over 8 percent in the last several weeks, and the credit risk of high - yield bonds can offer some diversification from the interest - rate risk of a portfolio of Treasury bonds.

Government bonds could help reduce default risk, but because of the length of maturity required to earn any meaningful yield, they do little to reduce duration risk - i.e. the overall sensitivity of a portfolio to interest rate rises.

Certainly, it offers an attractive level for longer - term investors such as pension and insurance funds to lock in a relatively decent yield, and will tempt some portfolio managers to buy bonds rather than equities.

Thirdly, I think a reasonably diversified stock / bond portfolio can also provide a solid ~ 2.5 - 3.5 % blended yield quite easily, depending on asset mix and growth profile.

A 2.5 % — 3.5 % blend yield on a diversified stock / bond portfolio is OK.

Its underlying index selects and weights its bonds by market value, and this method yields a portfolio that aligns well with our benchmark in terms of credit tranches and maturity buckets, with the only notable difference being a slightly lower YTM.

Bonds have never been a part of my portfolio given the historical lower yield when compared with equities.

For example, some investors may have taken on more risk in their portfolios in recent years by moving into lower - quality bonds or dividend stocks, in an attempt to generate additional yield.

A high quality muni - bond portfolio can yield close to 4 % tax free, with inflation essentially not existent and equities at an all time high I'm curious if there is a flaw in my logic?

Moderate income model portfolio: 3 % Bloomberg Barclays 1 — 3 Month Treasury Bill Index, 19 % Bloomberg Barclays U.S. Aggregate Bond Index (1 — 3Y), 30 % Bloomberg Barclays U.S. Aggregate Bond Index (5 — 7Y), 7 % Bloomberg Barclays U.S. Aggregate Bond Index (10 + Y), 6 % Bloomberg Barclays U.S. Corporate High Yield Bond Index, 5 % JPM GBI Global ex. - U.S. Index, 5 % JPM EMBI Global Index, 12 % S&P 500 Index, 2 % Russell Midcap ® Index, 2 % Russell 2000 ® Index, 4 % MSCI EAFE Index (USD), 5 % FTSE EPRA / NAREIT Developed Index.

Moderate Growth and Income Four Asset Group model portfolio without private capital: 3 % Bloomberg Barclays 1 — 3 Month Treasury Bill Index, 11 % Bloomberg Barclays U.S. Aggregate Bond Index (5 — 7Y), 6 % Bloomberg Barclays U.S. Aggregate Bond Index (10 + Y), 6 % Bloomberg Barclays U.S. Corporate High Yield Bond Index, 3 % JPM GBI Global ex. - U.S. Index, 5 % JPM EMBI Global Index, 20 % S&P 500 Index, 8 % Russell Midcap ® Index, 6 % Russell 2000 ® Index, 5 % MSCI EAFE Index (USD), 5 % MSCI EM Index (USD), 5 % FTSE EPRA / NAREIT Developed Index, 2 % Bloomberg Commodity Index, 3 % HFRI Relative Value Index, 6 % HFRI Macro Index, 4 % HFRI Event - Driven Index, 2 % HFRI Equity Hedge Index.

Cumulative inflows into the iShares Short Maturity Bond ETF (NEAR), Floating Rate Bond ETF, SPDR Bloomberg Barclays Short Term High Yield Bond ETF, PowerShares Senior Loan Portfolio, and the Vanguard Short - Term Corporate Bond ETF topped $ 400 million in total for the first session of the week, the highest since the inception date of the most recent member of this product group.

iShares S&P ® / TSX ® 60 Index Fund («XIU»), iShares S&P / TSX Capped Composite Index Fund («XIC»), iShares S&P / TSX Completion Index Fund («XMD»), iShares S&P / TSX SmallCap Index Fund («XCS»), iShares S&P / TSX Capped Energy Index Fund («XEG»), iShares S&P / TSX Capped Financials Index Fund («XFN»), iShares S&P / TSX Global Gold Index Fund («XGD»), iShares S&P / TSX Capped Information Technology Index Fund («XIT»), iShares S&P / TSX Capped REIT Index Fund («XRE»), iShares S&P / TSX Capped Materials Index Fund («XMA»), iShares Diversified Monthly Income Fund («XTR»), iShares S&P 500 Index Fund (CAD - Hedged)(«XSP»), iShares Jantzi Social Index Fund («XEN»), iShares Dow Jones Select Dividend Index Fund («XDV»), iShares Dow Jones Canada Select Growth Index Fund («XCG»), iShares Dow Jones Canada Select Value Index Fund («XCV»), iShares DEX Universe Bond Index Fund («XBB»), iShares DEX Short Term Bond Index Fund («XSB»), iShares DEX Real Return Bond Index Fund («XRB»), iShares DEX Long Term Bond Index Fund («XLB»), iShares DEX All Government Bond Index Fund («XGB»), and iShares DEX All Corporate Bond Index Fund («XCB»), iShares MSCI EAFE ® Index Fund (CAD - Hedged)(«XIN»), iShares Russell 2000 ® Index Fund (CAD - Hedged)(«XSU»), iShares Conservative Core Portfolio Builder Fund («XCR»), iShares Growth Core Portfolio Builder Fund («XGR»), iShares Global Completion Portfolio Builder Fund («XGC»), iShares Alternatives Completion Portfolio Builder Fund («XAL»), iShares MSCI Emerging Markets Index Fund («XEM») and iShares MSCI World Index Fund («XWD»), iShares MSCI Brazil Index Fund («XBZ»), iShares China Index Fund («XCH»), iShares S&P CNX Nifty India Index Fund («XID»), iShares S&P Latin America 40 Index Fund («XLA»), iShares U.S. High Yield Bond Index Fund (CAD - Hedged)(«XHY»), iShares U.S. IG Corporate Bond Index Fund (CAD - Hedged)(«XIG»), iShares DEX HYBrid Bond Index Fund («XHB»), iShares S&P / TSX North American Preferred Stock Index Fund (CAD - Hedged)(«XPF»), iShares S&P / TSX Equity Income Index Fund («XEI»), iShares S&P / TSX Capped Consumer Staples Index Fund («XST»), iShares Capped Utilities Index Fund («XUT»), iShares S&P / TSX Global Base Metals Index Fund («XBM»), iShares S&P Global Healthcare Index Fund (CAD - Hedged)(«XHC»), iShares NASDAQ 100 Index Fund (CAD - Hedged)(«XQQ») and iShares J.P. Morgan USD Emerging Markets Bond Index Fund (CAD - Hedged)(«XEB»)(collectively, the «Funds») may or may not be suitable for all investors.

Bonds can still serve a purpose in a diversified portfolio, but it's unlikely they will enhance your returns until we see much higher yields.

I've been waiting to build a large bond portfolio for a while and am surprised the 10 - year yield is surging to ~ 2 %.

Fixed income, rising (or falling) yields, junk bonds, Fed tightening, TIPS, spreads, mortgage - backed securities — there's no shortage of jargon for this supposedly «boring» investment that most of us own in our portfolios.

Although bonds could potentially lose purchasing power over the long run from current yields they can still serve a purpose in a well - diversified portfolio.

«How do high - yield bonds fit into a diversified portfolios?

Similarly, you should have a variety of bonds in your portfolio, including Treasury bonds, municipal bonds, corporate bonds, bonds with different maturities, foreign bonds and high - yield bonds.

Back in 2007, before the financial crisis, a portfolio of investment grade bonds would have yielded comfortably over 5 %.

Even with low yields and rising interest rates, bonds still tend to do their job by dampening volatility and minimizing losses for the overall portfolio.

This convergence of yields has implications for the behaviour of investors: with bond yields in different countries tending to move together, investors have found it more difficult not only to diversify their portfolios but to find trading opportunities.

Over the long term the nominal return on a duration - managed bond portfolio (or bond index — the duration on those doesn't change very much) converges on the starting yield.

Many investors look to their bond portfolio as a source of income, and therefore favor higher yielding securities.

The High Yield Bond Fund is a concentrated portfolio made up of liquid securities, focused on high quality non-investment grade bonds with strong cash flows.

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.

You may search for and purchase high yield bonds at Fidelity.com, where you can choose the credit rating levels appropriate for your portfolio and risk tolerance.

Portfolio insurance should focus on the risk of a sharp rise in bond yields that results in a decline in the valuation of broad assets.

In addition, sovereign wealth funds — which generally diversify their portfolios to include a small portion of alternate assets such as gold, private equity and real estate — are likely to raise their allocations following the low yield in government bonds over the last couple of years.

Two yield calculations are generally evaluated when it comes to selecting callable bonds for a portfolio: yield to maturity and yield to call.

The fund pursues its objective by investing in a portfolio of high - yielding convertible and nonconvertible bonds.

With bonds yielding roughly 2.5 %, a typical stock - and - bond portfolio would need stocks to grow at 12.5 % annually in order to hit that overall 8.5 % target.

Although there have been many ups and downs in this extended rate cycle, junk bonds and the portfolio managers who buy and sell them have never experienced a rise from these yield levels before.

Former Fed Governor Stein highlighted that Federal Reserve's monetary policy transmission mechanism works through the «recruitment channel,» in such way that investors are «enlisted» to achieve central bank objectives by taking higher credit risks, or to rebalance portfolio by buying longer - term bonds (thus taking on higher duration risk) to seek higher yield when faced with diminished returns from safe assets.

Stock and high - yield bond portfolios typically tumble.

Wilson recommends investors emphasize international over domestic equities and upgrade their bond portfolios, avoiding high yield.

Although decades of history have conclusively proved it is more profitable to be an owner of corporate America (viz., stocks), rather than a lender to it (viz., bonds), there are times when equities are unattractive compared to other asset classes (think late - 1999 when stock prices had risen so high the earnings yields were almost non-existent) or they do not fit with the particular goals or needs of the portfolio owner.

If this bond - equity relationship remains unstable when yields are at risk of climbing further, long - term Treasuries may not play their traditional portfolio diversifying role.

Brace for some ups and downs in markets, but consider positioning your portfolio to pursue income through preferred stocks, total shareholder payout and high yield bond - oriented ETFs.

We believe the jump in benchmark U.S. Treasury yields after Trump's surprise win, and the accompanying move toward cyclicals and away from bond - like equities, represent an important regime shift for financial markets and highlight risks to traditional portfolio diversification.

Putting aside the performance of bonds during the bear market beginning in 1980 (both because the starting yields on Treasuries were so high but also because the bear market was relatively mild as the decline began from relatively low levels of valuation), what's interesting about the above chart is how dependably bonds protected a portfolio during equity bear markets.

If you have a huge portion of your portfolio in high dividend stocks or high - yield bonds, you should diversify.

Depending on your risk tolerance and familiarity with individual corporations, now could be an opportune time to consider high yielding corporate bonds as part of your investment portfolio.

The best framework for bonds protecting portfolio capital during equity bear markets is: average to above - average starting bond yields, with an average to above - average rate of inflation — which is set to decline in a recession - induced bear market.

All that is as it should be, so long as investors understand the role that high - yield bonds play in a portfolio.

If much of the investment into bond mutual funds that has occurred the last couple of years is for purposes of dampening the volatility of a portfolio — and with the 10 - Year Treasury yield at 1.8 percent it's difficult to argue for a different motivation - then it's important to think through the thesis that bonds will defend a balanced portfolio in an equity bear market in the same way they have, especially to the extent they have in the last two bear markets.

I've used John Hussman's method of estimating expected returns for stocks (using a simplified version the model that relies on just the CAPE ratio) and the beginning bond yield for the expected return for the bond portion of the portfolio.