Capital appreciation potential Positive events in the economy, industry or issuing company can reward you with increases in your high - yield bond's price, otherwise known as capital appreciation.
If broad trading flexibility is available then sector rotation can be a viable way to position investment portfolios to take advantage of market cycles and trends providing
for capital appreciation potential in particular areas of the investment universe.
The Best Ideas Newsletter portfolio seeks to find stocks that have good value and good momentum characteristics and typically targets
capital appreciation potential over a longer - term horizon.
All things considered, the recent stock price might present an opportunity for patient investors, given the
solid capital appreciation potential out to 2017 - 2019, versus the Value Line median.
Capital appreciation potential Companies issuing high yield bonds have the potential to turn around their financial standing, creating the opportunity for investors to realize capital gains as bond values increase, due to improving business conditions or improved credit ratings.
«We follow a flexible, value - oriented investment philosophy seeking income and long - term
capital appreciation potential by investing in dividend - paying stocks, convertible securities and bonds.»
Overall, investors purchase investment products for
their capital appreciation potential and income paying distributions.
He continued, «Our investment in FlexShopper includes capital from our Partners as well as several family offices that believe in
the capital appreciation potential of FlexShopper.
Our clients have chosen the more conservative approach where they have good (but not the highest) current income and have good (but not the highest)
capital appreciation potential.
In addition, this stylistic diversification affords the ability to construct a portfolio with a total return profile driven by dividend yield, supported by dividend growth, and exposed to
capital appreciation potential.
Capital appreciation potential is a given, and dividends may also rise over time as the business improves.
Once understood, determining
the capital appreciation potential of a single stock or a portfolio of stocks is straightforward.
In addition, this stylistic diversification affords the ability to construct a portfolio with a total return profile driven by dividend growth, supported by dividend yield, and exposed to
capital appreciation potential.
To clarify and summarize, in order to achieve a higher yield you must simultaneously be willing to accept less growth or
capital appreciation potential.
So with income investing, you need to balance yield against the other factors that matter to you in your investments: things like volatility, diversification,
capital appreciation potential and income growth potential.
Managed for total return, the Fund seeks a combination of both current income and
capital appreciation potential.
This attribute caps
the capital appreciation potential of a convertible bond.
The chart below highlights
the capital appreciation potential of investing in spin - offs.
Covered call ETFs are a convenient way to participate in most of
the capital appreciation potential of a basket of securities that mirrors a given index, while receiving a regular income stream that offers a degree of downside protection for the portfolio.
Investing so you have
capital appreciation potential as well as a stream of guaranteed income will help give you some assurance that you won't outlive your assets.
To further diversify, they are in different geographical regions (this includes offshore exposure) with different opportunities, tenants, growth possibilities, income streams and
capital appreciation potential.