Sentences with phrase «high credit quality»

Revenue bonds issued for essential services, however, such as electric power, or water or sewer systems, do provide reliable income streams and are often of high credit quality.

If the insurance company can handle the lack of incremental income, investing in higher credit quality instruments in tight spread low implied volatility environments can mitigate the risks.

Higher credit quality bonds are more expensive but generally deliver reliable returns.

Therefore, if the stock market falls, the market value of a high yield bond is more likely to fall than the market value of a bond with higher credit quality.

Hence, choose a liquid fund which invests in highest credit quality rated instruments, i.e. AAA rated.

A short - term municipal bond fund, invested in high credit quality names, can act as a buffer for your riskier investment choices, no matter your age.

We will take them all, subject to you keeping high credit quality standards.

Insurance policies are high credit quality obligations, they don't vary as much as bonds that are risky.

All the holdings are of high credit quality, similar to the bond ETF.

A balance must be struck between limiting risk using shorter duration or higher credit quality bonds versus maximizing investment yield with longer duration or lower credit quality bonds.

Instead, I have invested in short - term bond funds with high credit quality.

As for its debt investments, they are in High Credit Quality investments.

«We created this company because we believed there was a niche in the public REIT space for a company with very high credit quality tenants that had a very high renewal probability, which translates into a very safe dividend and reasonable growth opportunities,» says David M. Blackman, president and COO of Government Properties Income Trust, a REIT that owns roughly $ 1.7 billion of office properties with approximately 10 million sq. ft. located in 31 states and Washington, D.C.

Significantly higher credit quality 2.

«The GSE's major role in mortgage finance had the perverse effect of reducing the attractiveness of opportunities for banks in higher credit quality mortgages (the GSEs take their cut with the advantage of near - Treasury borrowing rates and far higher gearing, leaving a smaller part of the economic pie left for banks).»

«High - quality assets are generally less susceptible to the various stages of the office real estate cycle, require less capital commitments to maintain higher occupancy levels and attract higher credit quality tenants.»

High Credit Quality Covered bonds are different from typical U.S. corporate debt in that, in the event of a default, covered bondholders not only have a senior unsecured claim against the issuer but also a preferential claim to a segregated, actively maintained «cover pool» of assets.

To generate higher returns, an FMP would have to invest in not so high credit quality instruments, thus taking on relatively higher risk.

You would also find that with an FMP, the average portfolio is of a reasonably high credit quality that is AA / AAA.

While tough economic times and reduced tax revenues possibly might create difficulties for some states in re-paying municipal bonds, credit risk can be reduced by focusing on ETFs which invest in higher credit quality issuers.

The low fed funds rate affects high credit quality money market funds, many of which will close to new investments (and / or reduce fees).

Vanguard's new VLB has a modestly higher credit quality profile and lower exposure to corporate bonds than iShares» XLB, Kletz says.

These certificates can come in various pools or tranches, some being high credit quality while others taking the lower grade.

Investors focus on the difference between yields on high - yield bonds and the yields on U.S. Treasuries or other issues of comparable high credit quality.

Investors should note that government bonds, or Treasuries, are not subject to credit quality ratings, and these securities are considered to be of the very highest credit quality.

And the GSE's major role in mortgage finance had the perverse effect of reducing the attractiveness of opportunities for banks in higher credit quality mortgages (the GSEs take their cut with the advantage of near - Treasury borrowing rates and far higher gearing, leaving a smaller part of the economic pie left for banks).

These investments have high credit quality ratings of at least AAA / Aaa.

«Many investors are interested in high credit quality bonds, but the supply of AAA - rated corporate debt in the U.S. is very limited,» said Michael L. Sapir, Chairman and CEO of ProShare Advisors LLC, ProShares» investment advisor.

«Bonds can be a stable reserve of value, or they can be as volatile as stock,» said David Yeske, co-founder of advisory firm Yeske Buie Inc. «I think a lot of advisors are shifting their bond allocations to shorter maturities and higher credit quality.»

The higher the credit quality, the lower the risk and the lower the potential return.

Bond funds are typically classified as either investment grade quality (medium to high credit quality) or below investment grade quality, depending on the individual bonds in which they invest.

UK government bonds are the highest credit quality security in the country, and this leg of your portfolio aims to give you security, not returns.

In broad terms, the non-prime mortgage market can be categorised into two segments: the highest credit quality segment is referred to as «near prime» or Alt - A, and the remainder is the genuine «sub-prime» category.

Bonds of the highest credit quality and longest duration, US government 30 year bonds, have shown their power when an equity portfolio needed it the most.

A Junk Bond mutual fund is much less work and higher credit quality than P2P.

The dual coverage from the issuer and the cover pool typically makes covered bonds a high credit quality investment.

Currently, our debt portfolio is invested in the highest credit quality assets encompassing securities issued by AAA rated companies and Government of India securities.

Equity risk for the S&P 500 (a high credit quality group) is probably akin to the risk of owning weak BB or strong single - B bonds on average.

Many bond managers like to own RMBS for its high credit quality, liquidity, and attractive yields, but the problem is this: when interest rates move, the RMBS does what you don't want to see happen.

Higher Credit Quality, Lower Volatility and Comparable Yields Preferreds have significantly higher credit quality than high yield bonds, have exhibited lower volatility and can offer similar yields with potential tax advantages on income as some preferreds provide QDI.

We keep a neutral view on EM sovereign credit, and prefer EM corporate due to the higher credit quality and larger Asia tilt.

The borrowers still have high credit quality.

U.S. Treasury securities generally have a lower return than other obligations because of their higher credit quality and market liquidity.

If you tell the market that you will suck $ 85 billion of the highest credit quality assets out of circulation for as long as it will take to get the economy moving again, and then later you say that you will reduce that flow within a year, you think that won't change the views of market participants?