Sentences with phrase «carry investment grade»
In short, long - term investors should carry the majority of their bond exposure in more reliable, income - producing bonds that carry investment grade bond ratings.
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Inc., which carries an investment grade credit rating.
Not exact matches
AXA Equitable Life Insurance Company carries solidly investment - grade financial strength ratings from the four major independent U.S. ratings agencies and possesses very strong solvency levels.
Each account will contain investment - grade taxable bonds rated BBB − or higher at time of purchase.2 The investment team will seek to maintain an overall portfolio credit rating average of A −.2 Please be aware that lower rated bonds do carry additional risk compared to higher rated bonds.
In the past 20 years, the stock market has undergone two massive declines, and in both cases, short - term, investment - grade munis — those carrying an A rating or higher — helped investors stanch the losses.
Bank loans however, carry sub-investment grade ratings and have significantly more credit risk than investment grade corporate bond floating - rate securities.
These securities carry a greater degree of credit risk relative to investment - grade securities.
High - yield bonds, also referred to as «junk bonds,» offer higher rates of return, and therefore carry a higher rate of risk, than investment grade bonds.
Junk bonds carry higher default risk and are thus far more sensitive to the health of the economy than investment - grade bonds.
These three ETFs carry low risks but potentially high rewards Simon Maierhofer on the contrarian nature of consumer staples, long - dated Treasuries and investment - grade corporate bondsSimon Maierhofer on the contrarian nature of consumer staples, long - dated Treasuries and investment - grade corporate bonds.
These bonds are below investment grade and thus carry very high levels of risk.
Junk bonds carry ratings that are below investment grade.
Most long - term investors may benefit from carrying the bulk of their fixed - income exposure in investment grade bonds for the sake of reliable, long - term cash flow.
These funds buy short - term loans that are mostly rated below investment - grade and carry interest rates that adjust higher with market rates.
A range of AAA down to BBB (or Baa) is considered «investment grade,» and lower - rated or «junk» bonds carry greater risk.
Bonds considered to carry minimal likelihood of default are «investment grade» and are rated Baa3 or higher by Moody's, or BBB - or higher by Standard & Poor's and Fitch Ratings.
Many of the fledgling tech and dot.com companies either don't carry a long - term debt rating, or if they do, it's below investment - grade, McDowell says.