«The «flight to safety» concept — periods of volatility causing money to
flow out of equity markets into fixed income and thus driving prices up and yields down — no longer looks viable,» Bill Belden, head of ETF business development at Guggenheim, said.
«The «flight to safety» concept — periods of volatility causing money to
flow out of equity markets into fixed income and thus driving prices up and yields down
Not exact matches
For example, when
equity markets crash, money
flows out of stocks and into safe havens like high - quality bonds, which drives their prices up.
However, if the U.S. and world stock
markets start to lose steam, which early clues suggest could already be the case, then safe - haven gold would benefit as money starts to
flow out of the riskier asset class,
equities.
Conversely, the biggest
flows out of equity funds and into fixed income usually occur after a stock
market drop.
The
Equity Component employs a systematic process to identify repetitive patterns
of price behavior that are indicative
of prevailing
market sentiment and / or institutional money
flows into or
out of individual securities and sectors.
Negative
equity is keeping many potential sellers
out of the
market, which keeps a lid on inventory and complied with the reduced
flow of REO properties has led to much tighter
market conditions for lower priced properties, particularly in the hardest hit
markets, according to CoreLogic Economist Sam Khater.
Buy for cash
flow — at least a break - even — because it protects your downside and gives you time to figure
out a profit strategy, AND buy for appreciation — not speculation, but buy in a strongly appreciating, desirable
market because you will probably want to pull some or all
of your
equity out sooner than you think.