Sentences with phrase «high investment grade»

The buy and hold strategy works best when you purchase government bonds or corporate bonds with really high investment grade.

Moreover, as government bonds have higher investment grade score, the yield rate tends to be low.

Moody's Investors Service rates the bonds A2, its sixth - highest investment grade and one step below MTA's transportation revenue bonds, citing the stability provided by the escalating ground rent payments, given the high value of the real estate.

Not exact matches

And bankers are already talking about cutting up the deal into some high yield and some investment grade debt.

While credit risk might seem like a bad idea with the U.S. economy still weak and the rest of the world looking equally uncertain, high - yield bonds do offer bigger returns than government and investment - grade bonds.

Cannon figures that the average credit quality of a the big banks lending portfolio probably falls halfway between high - yield debt and investment grade.

«Often, high - grade bonds in an investment portfolio increase its risk.»

«What we're doing is reducing exposure to more cyclical industrial corporate credit risk around the globe — high yield bonds, bank loans, investment - grade corporate bonds,» said Collins.

One «canary in the coal mine» could be a move further away from high - yield bonds and into investment - grade fixed income.

(«AAA» and «AA» indicate a high credit - quality investment grade.)

It said in a note Friday: «With the recent back - up in both IG [investment grade] and HY [high - yield] spreads to their respective 3.5 - year wides, a discussion has emerged about whether the market is sensing the next default cycle around the corner or is simply «overreacting» to some exogenous but ultimately irrelevant events.

«High yield (HY) stocks within the S&P 500 are trading a discount to their investment grade (IG) counterparts for the first time in two decades.»

These funds offer diversification across multiple asset classes, including domestic and international stocks across varying styles and market capitalization ranges, investment grade and high yield fixed income, and short - term investments.

While these funds have the potential to provide high income and total returns, they are riskier and more volatile than their investment grade counterparts.

Previously, Mr. Woolford worked at CIBC World Markets, Morgan Stanley & Co and BT Securities where he was responsible for originating, structuring and distributing high yield and investment grade private placement securities.

Our team of credit professionals deliver sales and trading capabilities across a wide range of fixed income asset classes including high yield, distressed and investment grade bonds, convertible bonds, public and private corporate securities, leveraged loans and emerging market debt.

This leaves us roughly in the same position that we started the year, slightly overweight to spread product, i.e., investment - grade and high - yield corporate bonds and emerging markets (more recently, we also went back to a slight overweight on commercial mortgage - backed securities).

We trade all fixed income assets, with a focus on more illiquid situations, from high yield, distressed and investment grade bonds and convertible bonds to public and private corporate securities and leveraged loans.

In the credit markets, both investment - grade and high - yield corporate bonds had negative returns for the first time in eight quarters, with down - in - quality subsectors in each unconventionally outperforming higher quality ones.

Higher rated bonds, known as investment grade bonds, are seen as safer and more stable investments that are tied to corporations or government entities that have a positive outlook.

High yield / non-investment-grade bonds involve greater price volatility and risk of default than investment - grade bonds.

Finally, it was a banner year for credit, with spreads narrowing across investment grade, high yield and emerging markets.

Each fund has a stated objective, generally focusing on a particular sector, such as corporate or Treasury bonds, or broad category, such as investment grade or high yield.

The Senate version is more onerous: It would affect a small portion of the investment - grade market, but would have a much greater impact than the House version on the high - yield market.

The fund invests primarily in investment grade debt securities, but may invest up to 10 % of its total assets in high yield securities rated B or higher by Moody's.

High yield fixed income securities are considered speculative, involve greater risk of default, and tend to be more volatile than investment grade fixed income securities.

Since its 2014 high on December 29, the S&P 500 Index has gained 1.5 % (not including a fraction of a percent in dividends), the Dow Industrial Average has gained 1.3 %, the Dow Transportation Average is down -5.8 %, the Dow Utilities Average is down -8.9 %, market breadth has churned sideways, and investment grade corporate spreads are flat (though junk spreads have come in about two - tenths of a percent).

Although the bond market is also volatile, lower - quality debt securities, including leveraged loans, generally offer higher yields compared with investment - grade securities, but also involve greater risk of default or price changes.

Vaselkiv pointed out there was a «game changer» in February this year when «Moody's took a chainsaw to $ 150 billion of investment - grade oil and gas bonds, and downgraded very high - quality investmen - grade companies to BB,» which he noted was a one - time opportunity to prove the strength of their portfolios.

Moody's also recently evaluated the level of interest expense to EBITDA for 18 corporate sectors across investment grade and high - yield.

Within fixed income, we suggest raising average credit quality, particularly focusing on investments in areas like high - grade corporate and municipal bonds.

Our Global Market Strategies segment, established in 1999 with our first high yield fund, advises a group of 46 active funds that pursue investment opportunities across various types of credit, equities and alternative instruments, including bank loans, high yield debt, structured credit products, distressed debt, corporate mezzanine, energy mezzanine opportunities and long / short high - grade and high - yield credit instruments, emerging markets equities, and (with regards to certain macroeconomic strategies) currencies, commodities and interest rate products and their derivatives.

The Unit Investment Trust, which is actually a corporate income fund, is similar to a regular money market account, except it?s made up of a group of higher grade securities, and instruments, and usually pays out dividends on a monthly basis...

Last week, spreads on the Morningstar Corporate Bond Index, an investment - grade corporate bond gauge, and the BofA Merrill Lynch High Yield Master Index, shot higher.

A pioneer in global sector investing, and one of the world's, largest managers in high - yield, bank loans, investment - grade corporates and municipals

Such strategies involve investing predominantly in corporate credit, including senior secured and mezzanine loans and high yield, distressed and high grade debt securities, private equity controlled positions, real estate investment and investment in pools of non-performing loans in Europe and Asia.

Investments rated below investment grade are commonly referred to as high - yield, high risk or «junk debt.»

At the beginning of 2016, U.S. high yield spreads were among the widest versus investment grade since the financial crisis.

When there is a downgrade from investment - grade to high - yield status, this inevitably means managers with mandates permitting only investment - grade bonds will have to indiscriminately liquidate the downgraded bond.

Western allies press Trump to maintain nuclear deal with Iran: Reuters US intelligence monitors Iranian cargo shipments into Syria: CNN A trade war is a major risk for China's debt - ridden economy: CNBC Federal judge orders gov» t must accept new DACA immigration applications: WaPo Unification of Koreas still unlikely as leaders prepare to meet: Reuters US Consumer Confidence Index rebounded in April after March decline: CB New home sales in US increased to 4 - month high in March: MarketWatch Richmond Fed Mfg Index turns negative for first time since 2016: Bond Buyer S&P Case - Shiller Home Price Index surged in Feb, up 6.3 % y - o - y: CNBC Federal Housing Finance Agency: US house prices continued to rise in Feb: HW Corp bonds with lowest investment - grade rating look vulnerable: Bloomberg 10 - year Treasury yield reaches 3.0 % for first time since 2014: CNN Money

Non-investment grade bonds are considered to be higher risk or speculative investments.

Whereas other muni funds might accumulate Illinois debt based on its high yield, regardless of risk, we generally have stuck to investment - grade munis.

Investment grade, high yield and emerging market spreads are currently trading relatively rich.

We aim to add value in the Corporate Advantage Fund by generating yield using a relative valuation approach and investing in investment grade corporate bonds, high yield bonds, preferred shares, and other fixed income securities.

Rated bonds fall into one of two categories: investment grade or non-investment grade (also known as high yield).

Investment grade vs. non-investment grade (high yield) Corporate bonds are generally rated by one or more of the three primary ratings agencies: Standard & Poor's, Moody's, and Fitch.

Investing in high yield fixed income securities, otherwise known as «junk bonds», is considered speculative and involves greater risk of loss of principal and interest than investing in investment grade fixed income securities.

Each account will contain investment - grade taxable bonds rated BBB − or higher at time of purchase.2 The investment team will seek to maintain an overall portfolio credit rating average of A −.2 Please be aware that lower rated bonds do carry additional risk compared to higher rated bonds.

Default risk Historically, the risk of default on principal, interest, or both, is greater for high yield bonds than for investment grade bonds.

The average bid / ask spread was 29 cents (per $ 100 par value) for both investment - grade and high - yield bonds, and the average daily trading volume was $ 2.2 million ($ 2.5 million) for investment - grade (high - yield) corporate bonds.