Sentences with phrase «earned on each asset»

The Federal Reserve reported a massive $ 97.7 B in net income for the year 2015 thanks primarily to the income the Fed earned on its asset holdings via QE.
Potential annuity purchasers become more exposed to longevity risk the lower the returns they earn on their assets (your capital is more likely to run out if you aren't earning enough interest to fund your retirement).
Net interest margin is similar to Net Interest rate spread in that both refer to the percent a company earns on assets once the cost of borrowing those assets is taken into account, but Net Interest Rate Spread is a hypothetical number that a company could earn if all assets were borrowed and invested at the going rates.
For example, changes in interest rates could adversely affect net interest margin — the difference between the yield the bank earns on assets and the interest rate it pays for deposits and other sources of funding — which could in turn affect earnings.
Potential annuity purchasers become more exposed to longevity risk the lower the returns they earn on their assets (your capital is more likely to run out if you aren't earning enough interest to fund your retirement).
ROA is the percentage a company earns on its assets in a given year.
Under the deeming rules, the actual income earned on an asset is not counted.
Fitch assumed excess spread to be the lesser of the average historical excess spread (earning on the assets minus interest payments to bondholders and fees) and the most recent 12 - month average excess spread, and applied that same rate over the stressed projection of remaining life.
The weighted average interest rate earned on each asset in the portfolio, expressed as a percentage.
But if they have investment assets that can be liquidated to pay down their mortgage balance, the rate of return on investment will be far higher than the return they are earning on those assets now.

Not exact matches

An important aspect of safeguarding yourself without limiting your ability to earn large returns on your investments is diversifying your assets.
Declining assets generally mean less revenue for investment managers, who earn a percentage based on the value of the investments.
She then worked for a couple of wealth managers with «convoluted» fee - based models based on a client's assets under management, their net worth and their earned income.
Hospitals that invest in an asset tracking system, so they don't have to buy as many expensive IV pumps in the first place, should be able to easily earn a 275 % ROI (return on investment).
TORONTO — The 2013 - 14 financial year was an unusually strong one for the Canada Pension Plan Investment Board, which earned a 16.5 per cent annual return on the billions of dollars in assets it manages for the national retirement system, but its CEO cautions that level of growth likely won't soon be repeated.
That is because a decline in the dollar would raise the value of the income earned on our foreign direct investment and foreign - currency denominated assets, relative to the income that foreigners earned on their dollar - denominated investments in the United States.
It shows the difference between interest income earned and the interest paid on borrowings by the bank, as a percentage of its earning assets.
U.S. residents do in fact earn more on their assets than they pay on their liabilities, and U.S. firms operating abroad earn a higher rate of return than do foreign firms operating in the United States.
Debt leveraging is depicted as the easiest and even the surest way to accumulate wealth — going into debt to buy assets whose prices are being inflated on credit, or to spend in the hope of paying out of rising and more easily earned future income.
They're making a shift because «they can't earn enough money on the assets they hold to provide the benefits that they offer.»
On the basis of the «trading desk» adding $ 1 of «free gratis» legal reserves, the banking system acquires $ 200 in earning assets.
Some Prefatory Remarks to the N.Y.U. Real Estate Institute discussion, Oct. 25, 2001 Economic theory focuses on labor and capital, yet the largest category of tangible assets is not industrial plant and machinery earning profits, but real estate, and its primary objective is to make capital gains.
RBC's Canadian and North American business strategy is founded on building strong and lasting relationships with our clients - «earning the right to be our clients» first choice» - and human capital is our greatest asset in making this happen.
Their ROICs are so low largely because we hold them accountable for earning a return on capital they have destroyed through asset write - downs.
In the event that it is determined that we have in the past experienced an ownership change, or if we experience one or more ownership changes as a result of this offering or future transactions in our stock, then we may be limited in our ability to use our net operating loss carryforwards and other tax assets to reduce taxes owed on the net taxable income that we earn.
What any individual bank needs to hold to maintain its liquidity in the face of stochastic adverse clearings, in addition of course to reserves of outside money, is not one specific type of earning asset, but a portfolio that includes enough liquid assets, meaning assets that can be sold on short notice with negligible losses from bid - ask spreads.
If our asset and liability values are appropriate — and we believe they are — and if we can continue to deploy this capital profitably, we now think that it can earn approximately 17 % return on tangible equity for the foreseeable future.
Since it was attacked on March 28 by the California - based Glaucus Research Group, Blue Sky has been slow to take actions that would restore market confidence in its $ 4 billion fee - earning assets number.
I believe that once our earning years are over, we won't need to tinker with the asset allocation as much and we'll review it on a quarterly basis.
Depending on the asset that you access, you will see a variety of choices for how to trade, but every trade you will be faced with, Nadex will give you a maximum amount that you can earn and a maximum that you can lose.
Don't let others receive an override on your hard - earned assets.
Indeed, it's often a mistake to do so: Truly great businesses, earning huge returns on tangible assets, can't for any extended period reinvest a large portion of their earnings internally at high rates of return.
Scenario 2 — Reinvest To 2015 Levels: If, instead of buying back stock, GE could quickly redeploy the capital from the sale of the financial assets and earn the same ROIC on that capital, it would generate enough cash flow to justify the current stock price.
The expectation, roughly, is that an increase in interest rates will allow the banks to earn more on the liquid assets they are holding.
In Q4 2017, the total interest expense of all US banks was just $ 21 billion, but banks made $ 150 billion on total earning assets at the end of 2017.
«The objective for a bank is to earn a spread on assets.
As we noted in the last issue of The IRA, the yield on earning assets for all US banks has been falling since 2008 thanks to the social engineering of Janet Yellen and her colleagues on the Federal Open Market Committee.
To date, virtually all the discussion has been based on very aggregate concepts such as the net interest margin, which is usually taken to mean banks» net interest income divided by their interest - earning assets.
This focus on an asset's earnings power and, in particular, the ability of assets to earn returns in excess of desired returns is the essence of my intrinsic valuation, which is based on Steven Penman's residual income model.1 The basic idea is that if a company is not earning a return in excess of our desired return, that company, like the bank account example above, deserves no premium to book value.
RCM receives a portion of the commodity brokerage commissions you pay in connection with your futures trading and / or a portion of the interest income (if any) earned on an account's assets.
We look for the cost of bank funding to rise faster than the yield on earning assets over the next two years, a situation that is likely to put an effective cap on bank earnings and public market valuations.
If you look at Page 3 of C's Y - 9 performance report, you'll see that C's yield on loans is 2 % higher than the large bank peer group, yet the bank has a spread on earning assets half a point lower than other large banks.
Through our community pool, members will be able to earn interest on their deposited coins (when lent), while also borrowing cash using their assets as collateral.
We're here for the cryptocurrency community, our goal is to support the community by providing them with loans on their crypto holdings and to also provide the community with a way to earn interest on their crypto assets.
The bank's yield on earning assets is in the bottom decile of large bank peer group.
In the wake of a financial crisis associated with over-leverage, monetary policy can, by lowering interest rates, lessen the burden on the indebted sectors by shifting the burden in part to the net holders of interest - earning assets.
When borrowing is cheap, firms will take on more debt to invest in hiring and expansion; consumers will make larger, long - term purchases with cheap credit; and savers will have more incentive to invest their money in stocks or other assets, rather than earn very little — and perhaps lose money in real terms — through savings accounts.
The interest spread is defined as the difference between the average interest rate received on interest - earning assets less the average interest rate paid on all deposits.
Carlyle's financial success primarily stems from the total assets the firm manages on behalf of others, along with the fees earned from managing those assets.
Hence, make sure you focus on diversifying your assets so that you can keep earning from one asset even if the other fails.
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