Sentences with phrase «funds in a lower interest rate environment»

Instead of continuing to hold a high interest investment, investors are left to reinvest funds in a lower interest rate environment.

Not exact matches

Pension funds are going to be investing in a generally low interest rate environment for a while,» she said.

The low interest rate environment may also have encouraged a shift in investments towards hedge funds as, in the past, hedge funds have achieved higher average returns than traditionally managed investments, albeit in exchange for greater risk.

The timing of the surge of deals has its roots in a low - interest - rate environment that has lowered the cost of funds.

The combination of low levels of ES funds and the cash rate remaining close to its target suggests a couple of conclusions: first, the market players involved with RTGS have adapted well to operating in the new environment; and second, participants have reasonable confidence about the availability of cash near the interest rate announced by the Reserve Bank as its policy target.

This makes peer - to - peer lending the ideal fixed income asset class to place your funds into in the current low interest rate environment.

In a sustained low interest rate environment such as the United States, unemployment rates decline and businesses have access to loan funds at reasonable rates.

Not surprisingly, in the environment of low interest rates and modest economic recovery, the short - biased funds had the worst and the fixed income funds had the best performance in the past five years.

Given the current low interest - rate environment, adding a high - yield allocation to your core bond portfolio or investing in a multisector bond fund may help increase your investment income — just remember that many of these types of funds still come with the potential for significant volatility, particularly during times of heightened economic and / or stock market volatility.

I have the majority of my investments in index funds at Vanguard in a taxable account, but don't like bond funds paying next to nothing in a rising interest rate environment, though their low correlation to stocks would be nice, return free risk though.

But employers don't want to fund expensive DB plans, particularly in a low interest rate environment.

Last year my solution was to park funds in several municipal bond funds under the theory that the low interest rate environment would last much longer than was, at the time, deemed possible.

The Fund's dividend adjustment reflects the current environment of historically low interest rates and reduced yields available in government bonds.

And you're right, that the people who are selling mutual funds and savings plans haven't figured out the right ways, and you know, in a high interest rate environment, spending the interest, or a high dividend environment, one can make do with that, but when interest rates are low, and dividends are out of fashion, then people have to spend the money down.

There is a risk that in an environment where interest rates have risen sharply, that a stable value fund would have a lower market value than book value, with a below market yield.