Sentences with phrase «for riskier assets»

The result: higher prices for riskier assets like equities and tighter spreads for high yield and emerging market (EM) bonds.

Appetite for riskier assets such as stocks and high - yield bonds has been suppressed by a number of factors that have come up around the same time, but the headwinds may be transitory, according to the New York - based investment bank.

[2] Some thought that this could justify an increased appetite for risky assets.

And it's the uncertainty of the price you'll get for your risky assets like shares when you need to sell them that is behind the shift into bonds and cash.

On the one hand, declining bond market activity and the persistence of low - risk arbitrage opportunities imply liquidity is impaired, while, on the other, low volatility and high demand for risky assets suggest that liquidity is alive and well.

Do asset correlations rise near peaks for risky assets?

So investors may be reconsidering what to pay for risky assets.

Considering these dynamics, we find duration (a measure of interest - rate risk) to be somewhat more concerning today than in recent memory and the prospects for risky assets will vary depending on how future duration moves are divided between breakevens and real rates.

They are willing to pay remarkably higher prices for risky assets.

Another of his ideas is that the seemingly - permanent increase in valuations for risky asset classes is a valid response to «improvements in the way a market functions... which lead to reductions in the costs of those who use it.»

Greenback Falls Despite Geithner's Call for Strong Dollar The U.S. Dollar finished lower, pressured by increased appetite for risky assets, despite a call from Treasury Secretary Geithner for a stronger currency.

Renewed Demand for Risky Assets Pumps Up U.S. Equities Renewed demand for higher risk assets helped to drive the March E-mini S&P 500 through the December high at 1126.50 to 1129.75.

Stocks Gain on Increased Demand for Risky Assets U.S. equity markets erased earlier losses triggered by the weaker than expected U.S. Non-Farm Payrolls Report to close higher for the day.

The strengthening April Gold market is a strong indication that the pact between the European Union and Greece is imminent, thereby driving up demand for risky assets.

Stocks Feel Pressure as Demand for Risky Assets Falters U.S. equity markets closed lower on Tuesday as investors dumped higher yielding stocks in favor of safe - haven assets.

Stocks Rally on Increased Demand for Risky Assets Global equity markets are rising overnight as traders increase demand for higher risk assets.

Since the strong rally starting in mid-February 2016, appetite for risky assets appears to have increased, but market participants have been differentiating more on quality.

U.S. Equities Post Strong Gains on Renewed Interest in Higher Yielding Assets Confidence that the Greek budget deficit problem may be improving helped to drive up demand for risky assets.

Commodity and Stocks Expected to Be Supported by Demand for Risky Assets Commodity and stock prices are expected to continue to see support from investors demanded higher yields although short - term overbought conditions may limit upside action.

While the interest rates alone have not influenced stock prices, the unprecedented quantitative easing started a vicious cycle of risk - on / risk - off (RORO) that was the result of a binary outcome for risky assets — either the easing works OR it doesn't.

«We think that there has been an overenthusiasm for risky assets and that the new valuations that have been reached are a little bit too optimistic,» Jamin said.

A growing economy with modest inflation has created a favorable environment for risky assets.

For now, if a correlation with stocks does exist, some analysts have suggested that cryptocurrencies such as bitcoin could be an indicator of appetite for risky assets such as equities.

According to the capital market theory, return requirements by investors for all risky assets are influenced by the risk - free rate, that is, the interest rate.

Not exact matches

This is probably the most common use of digital currency for individuals and non-professionals: as an alternative, risky, potentially very rewarding sort of asset class.

More specifically, investors have sought the potential for higher returns from riskier assets like private company stocks, as safer investments like T - bills and bonds pay out next to nothing.

Asian shares edged higher on Friday, turning positive for the year, while the US dollar weakened broadly after the Federal Reserve's cautious stance on further rate increases prompted investors to rebuild their bets on riskier assets.

Benchmark spot gold prices were on course for an over 1 percent decline this week, pressured by a thaw in tensions on the Korean peninsula and a stronger dollar as investors looked to riskier assets such as equities.

Treasury yields inched higher Tuesday as a global rally for assets perceived as risky suggested that fears over a trade conflict between China and the U.S. were easing following a speech by China's President Xi Jinping.

In this case, emerging markets have suffered the most as investors fled risky assets for the safety of U.S. government treasuries.

However, when evaluating the enthusiasm in today's market for farmland, I am reminded of the investing adage that it is not assets that are risky, but human behavior that makes them so.

With market volatility hitting multi-decade lows, junk bond yields also at record lows, the median price / revenue ratio of S&P 500 constituents at a record high well - beyond 2000 levels, and the most strenuously overvalued, overbought, overbullish syndromes we define, I'm increasingly concerned about the potential for an abrupt «air pocket» in the prices of risky assets that could attend even a modest upward shift in risk premiums.

Keeping risky assets away from insured deposits had been a key principle of U.S. regulation for decades before the repeal of Glass - Steagall in 1999.

Second, since capital requirements are now much more stringent both in their definition of what constitutes capital and in their coverage of risky assets, banks face higher costs for expanding their balance sheet.

As global investors continue to reprice expectations for structural reforms in the US and Europe, capital will continue to migrate into growth assets and safe - haven investments as an alternative to markets perceived as riskier.

This very low market volatility can lead investors to take on more risk, and in a period of still relatively low interest rates, to «reach for yield» — that is, buy riskier assets than one would otherwise, in order to achieve a desired profit or savings goal.

The lack of liquidity and higher leveraging of investments via crowdfunding platforms relative to REITs makes them much riskier, yet their incrementally higher promised returns and incrementally lower implied correlations with other asset classes don't seem to compensate for the added downsides.

In the April 2016 version of their paper entitled «Volatility Managed Portfolios», Alan Moreira and Tyler Muir test the performance of a simple volatility timing approach that lowers (raises) exposure to risky assets when volatility of recent returns for those assets is relatively high (low).

If fund managers are trying to pass off some of the best safest assets today as risky, simply because their mandates restrict them from investing in them, then it's time for us to take back control of our own wealth management.

If the risky assets have a month - end combined value less than the combined initial allocations, we rebalance them to equal weights for next month.

The Bears, who are dead right about how bad the economy is or the Bulls who are dead right for being long virtually every asset class, the riskier the better?

Losses in risky assets will dissipate investor confidence, undermine economic activity, and leave the Fed with little choice other than to step on the accelerator for more easy money.

Federal deposit insurance, since its birth in the 1930s, has meant that a comparatively risky bank (one with capital less adequate to cover potential losses on its asset portfolio) no longer faces a penalty in the market for retail deposits.

Since 2012, however, interest rates have continued to decline along with my risk tolerance for investing in more risky assets.

In addition, JPMorgan Chase forecasts obligations to efficiently deploy that collateral and minimize the need for collateral transformation, a process that involves turning relatively risky assets into safer ones.

So, it's understandable that many are tempted to head for the doors and abandon stocks and other risky assets.

Given term premium suppression (via QE) reduced volatility and induced investors to buy risky assets to boost returns, a sustained rise in long - term interest rates would give investors more options to achieve yield targets, thus making risk assets appear less attractive and ultimately erode demands for yield and tighten financial conditions.

Along with prices for just about every other risky and cyclically sensitive asset, oil prices plunged in late summer, and then quickly surged.

But make no mistake — by moving more of us out of super-safe cash and gilts and into riskier assets like peer - to - peer savings, corporate and retail bonds and equities, the stakes are being raised for everyone.

A lack of lower - risk income sources since the financial crisis forced investors toward riskier assets, raising the demand for these assets amid relatively fixed supply.