Sentences with phrase «government bonds have»

Government bonds have the flexibility to pay it directly, so does corporate accounts.
The returns available on risk - free investments such as long - dated index - linked government bonds have dropped to as little as 2 % — 2.5 % and, unlike property investments, these financial instruments provide no scope for real growth.
Government bonds have stood as a reliable long - term investment for decades, but the idea of «long - term» investing may be taken to a new extreme soon.
Government bonds have provided a buffer against equity market selloffs for much of the post-crisis period.
NEW HAVEN — The prices of long - term government bonds have been running very high in recent years (that is, their yields have been very low).
Yields on some government bonds have repeatedly plunged to new record lows.
Swiss government bonds have been consistently negative since January 2015, and the S&P Switzerland Sovereign Bond Index is has tightened 22 bps since the beginning of 2016.
It is worth noting that although net foreign flows into government bonds have been muted, investors rotated out of both nominal and real rates, adding to bills (Chart pack available on request) and keeping exposure to Mexican pesos.
They've dropped along with stocks while government bonds have even gone up a little bit.
$ 15 Trillion of government bonds have been sold with negative yields.
This gives investors another way to manage interest - rate risk because in the current market, government bonds have been more severely impacted by rising rates.
Real yields (the yield after accounting for inflation) on government bonds have risen recently, but are still around zero.
In 2000, I wrote a short paper entitled «Death of the Risk Premium,» with Ron Ryan, which was received with widespread derision, but ultimately proved correct: plain old 10 - year government bonds have produced higher returns than stocks since then, by a cumulative margin of over 30 %, despite the durable bull market since 2002.
Moreover, as government bonds have higher investment grade score, the yield rate tends to be low.
But it is to be noted that there have been cases where government bonds have defaulted while paying interest and principal amount.
Even government bonds have bond investment grade rankings.
Over the past century, stocks have grown at a roughly +10 % annual clip — significantly higher than other asset classes (for example, government bonds have earned ~ 5.5 % annually, real estate ~ 3.8 %, cash ~ 3.4 %).
Government bonds have the highest credit ratings because governments are likely to be around in the future to pay back the principal.
Other currencies are either not safe or their associated government bonds have zero or negative yield.
On 25 April, yields on 10 - year US government bonds have broken the big - figure of 3 %, a first since December 2013.
While government bonds currently produce little in the way of income, government bonds have been providing a hedge against equity risk.
If an investor is looking to precious metals and commodities as a non-correlated asset class, U.S. Government Bonds have a much better track record with much less risk than precious metals and commodities.
Since 1928, long - term corporate bonds have compounded at 6.1 %; U.S. government bonds have compounded at 5.7 %.
Whether they're issued at the federal, state, or local level, all government bonds have some sort of tax exemption.
Indonesian government bonds have outperformed corporate bonds over the past year.
Yields on 10 - year Japanese government bonds have also fallen back to be close to the lowest they have been in the past eighteen months.
«Indian government bonds have a strong upside potential but we want to wait until the next budget to decide wheter to increase or not our 8 % holdings,» he said.
Government bonds have typically been more sensitive to changes in U.S. interest rates, as they have a much higher proportion of foreign buyers and sellers from countries where local rates might be more stable or moving in the opposite direction.
Credit provides the potential for both diversification and incremental returns: While rate - driven government bonds have been rewarded during flight to quality periods, credit has been rewarded in times of strong economic growth.
European government bonds have reacted quite favorably to the latest announcements, specifically in the peripheral markets: Italy and Spain in particular have done quite well.
Yields on 10 - year US government bonds have remained within a relatively narrow range around 4.2 per cent over the past three months.
While spreads between yields on highly - rated corporate bonds and government bonds have remained above their historical averages, this continues to reflect strong demand for Commonwealth Government bonds rather than concerns about corporate credit quality.
Credit may be a disappointing investment until government bonds have adjusted, Stopford says.
Our analysis shows government bonds have provided positive returns during periods of significant equity declines, upholding their diversifying role.
Government bonds have provided a buffer against equity market selloffs for much of the post-crisis period.
While government bonds currently produce little in the way of income, government bonds have been providing a hedge against equity risk.
Long - term government bonds have been on an absolute tear this year.
The yield on Canadian 10 - year federal government bonds have climbed to about 1.6 % from about 1.3 % on Election Day.
In just one quarter the S&P 500 returned more than a seven - year U.S. government bond would have returned over its entire lifetime.
Longer - term rates are falling too: The yield on five - year government bonds has fallen from 1.9 per cent to 1.72 per cent in the past 10 days.
A compression between yields on government bonds has some market watchers worried that an economic slowdown could be looming.
Over the last few years, interest rates have been low and the yield on government bonds has been running below the rate of inflation.
The yield on long - term Canadian government bonds has fallen to a mere 1.8 %, but that's sky high compared to the negative yields seen in Japan and parts of Europe.
In fact, the only government bonds I would consider would be the real rate investment bonds that protect the investor against inflation.
In the Pan Asian bond market, while the size of government bonds has doubled to USD 4.8 trillion, the size of corporate bonds jumped 9 times to USD 1.9 trillion in the same period!
As a result, a five - year government bond would be matched up with a five - year consumer mortgage.
The average bond fund that invests heavily in government bonds has become a ridiculously unattractive proposition.
Jeevan Akshay, the immediate annuity plan from Life Insurance Corporation of India (LIC) that provides guaranteed return of 6.75 - 7 % has been asked by the Insurance Regulatory and Development Authority of India (IRDAI) to review the return as the yield on 10 - year government bond has fallen to 6.5 %, reports TOI.

Not exact matches

The threat of a trade war would also freak out the overseas investors we count on to buy our government bonds, and keep our interest rates at super-low levels.
REITs have long been popular with income - seeking investors in this era of miniscule government bond yields.
a b c d e f g h i j k l m n o p q r s t u v w x y z