Sentences with phrase «high yield bond returns»

Future high yield bond returns will likely be more muted — and depend more on improving fundamentals than commodity prices.

Master Limited Partnerships (MLPs) for High Yield High Yield ETFs High Yield Bonds Return from Closed End Funds to Passive Income Investments

Not exact matches

If interest rates rise and push that risk - free rate of return higher, then those dividend stocks and high - yield bonds are vulnerable.

Also, as bond rates rise, some of the money that migrated over from the bond market in search of higher yields will return to the safety of fixed income.

Gundlach predicts that both high - yield bonds and a portfolio of mortgage - backed securities could return about 6 percent in 2013.

The gap between the 10 - year French and German government bond yields has widened to a five - day high as political uncertainty returned to France.

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.

The Vanguard High Yield Corporate Bond fund has underperformed Treasuries in the recent downturn, but it still has a positive return of 0.5 percent in the year - to - date through Oct. 27.

With equity valuations at historic highs and government bonds barely eking out a return, junk bonds offer solid yields at a good price, he reasons.

While it's better to invest than keep money under a mattress, buying risk free securities, such as guaranteed income certificates or low - yielding government bonds, could actually be riskier than purchasing higher returning products, says Ted Rechtshaffen, president and CEO of Toronto's TriDelta Financial Partners.

These mutual funds have promised higher yields and better returns than bond - only funds, and for the most part they have delivered.

Compare that to the holder of a high yield bond who can ignore the ravings of Mr. Market and sit tight until normality returns.

High - yield bonds delivered another year of strong performance in 2017, with the benchmark Bloomberg Barclays US Corporate High Yield 2 % Issuer Capped Index returning 7.2 % as we approached year -yield bonds delivered another year of strong performance in 2017, with the benchmark Bloomberg Barclays US Corporate High Yield 2 % Issuer Capped Index returning 7.2 % as we approached year -Yield 2 % Issuer Capped Index returning 7.2 % as we approached year - end.

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.

Based on BlackRock's long - term assumptions, some of the better return - to - risk ratios are in high yield bonds, EM dollar - denominated debt and bank loans.

More interesting is the return on the BofA Merrill Lynch U.S. High Yield Energy Bond index, which has a whopping 18.26 % return YTD, but over the past year still has a negative 15.65 % return.

iShares S&P ® / TSX ® 60 Index Fund («XIU»), iShares S&P / TSX Capped Composite Index Fund («XIC»), iShares S&P / TSX Completion Index Fund («XMD»), iShares S&P / TSX SmallCap Index Fund («XCS»), iShares S&P / TSX Capped Energy Index Fund («XEG»), iShares S&P / TSX Capped Financials Index Fund («XFN»), iShares S&P / TSX Global Gold Index Fund («XGD»), iShares S&P / TSX Capped Information Technology Index Fund («XIT»), iShares S&P / TSX Capped REIT Index Fund («XRE»), iShares S&P / TSX Capped Materials Index Fund («XMA»), iShares Diversified Monthly Income Fund («XTR»), iShares S&P 500 Index Fund (CAD - Hedged)(«XSP»), iShares Jantzi Social Index Fund («XEN»), iShares Dow Jones Select Dividend Index Fund («XDV»), iShares Dow Jones Canada Select Growth Index Fund («XCG»), iShares Dow Jones Canada Select Value Index Fund («XCV»), iShares DEX Universe Bond Index Fund («XBB»), iShares DEX Short Term Bond Index Fund («XSB»), iShares DEX Real Return Bond Index Fund («XRB»), iShares DEX Long Term Bond Index Fund («XLB»), iShares DEX All Government Bond Index Fund («XGB»), and iShares DEX All Corporate Bond Index Fund («XCB»), iShares MSCI EAFE ® Index Fund (CAD - Hedged)(«XIN»), iShares Russell 2000 ® Index Fund (CAD - Hedged)(«XSU»), iShares Conservative Core Portfolio Builder Fund («XCR»), iShares Growth Core Portfolio Builder Fund («XGR»), iShares Global Completion Portfolio Builder Fund («XGC»), iShares Alternatives Completion Portfolio Builder Fund («XAL»), iShares MSCI Emerging Markets Index Fund («XEM») and iShares MSCI World Index Fund («XWD»), iShares MSCI Brazil Index Fund («XBZ»), iShares China Index Fund («XCH»), iShares S&P CNX Nifty India Index Fund («XID»), iShares S&P Latin America 40 Index Fund («XLA»), iShares U.S. High Yield Bond Index Fund (CAD - Hedged)(«XHY»), iShares U.S. IG Corporate Bond Index Fund (CAD - Hedged)(«XIG»), iShares DEX HYBrid Bond Index Fund («XHB»), iShares S&P / TSX North American Preferred Stock Index Fund (CAD - Hedged)(«XPF»), iShares S&P / TSX Equity Income Index Fund («XEI»), iShares S&P / TSX Capped Consumer Staples Index Fund («XST»), iShares Capped Utilities Index Fund («XUT»), iShares S&P / TSX Global Base Metals Index Fund («XBM»), iShares S&P Global Healthcare Index Fund (CAD - Hedged)(«XHC»), iShares NASDAQ 100 Index Fund (CAD - Hedged)(«XQQ») and iShares J.P. Morgan USD Emerging Markets Bond Index Fund (CAD - Hedged)(«XEB»)(collectively, the «Funds») may or may not be suitable for all investors.

Bonds can still serve a purpose in a diversified portfolio, but it's unlikely they will enhance your returns until we see much higher yields.

In all likelihood, rates will eventually go higher, and US bond funds could yield negative returns.

Real bond returns have been high over the past 30 years or so because nominal starting yields were high and inflation has fallen.

However, these higher yielding bonds are often the most risky, resulting in a lower risk - adjusted return than the broad market.

High yield (non-investment grade) bonds are from issuers that are considered to be at greater risk of not paying interest and / or returning principal at maturity.

Higher yields also offset some of the losses that occur in bond prices, which can help stabilize total returns.

After providing double - digit returns for many years, REITs are now well off the previous highs and trade at an estimated 15 % discount to net asset value (Source: TD Securities) and yielding an average of 7 %, a spread of 2.75 % over 10 - year bonds.

Former Fed Governor Stein highlighted that Federal Reserve's monetary policy transmission mechanism works through the «recruitment channel,» in such way that investors are «enlisted» to achieve central bank objectives by taking higher credit risks, or to rebalance portfolio by buying longer - term bonds (thus taking on higher duration risk) to seek higher yield when faced with diminished returns from safe assets.

He also noted that it is a very poor time to buy corporate bonds (high yield bond index yield 4.93 %) and Gundlach sees a negative return for the S&P in 2018 as the rates rout eventually gives the equity market the yips.

, but I think it's a mistake for risk averse or diversified investors to completely give up on high quality bonds because they're worried about poor returns from low yields.

In the long run both types of investment create capital that can yield substantial positive rates of return (above the current 30 and 50 year real bond rate) and result in both higher productivity and stronger labour force growth.

For a number of years, concerns had been expressed about the underpricing of risk in a range of financial instruments and the associated search for yield as investors sought higher returns in non-standard financial products as the yield on more standard products such as government bonds was deemed to be inadequate.

The downside for investors, if a high yield bond is called, is the loss of interest return for the years remaining in the life of the bond.

When equities yield less than bonds, they still usually have the higher expected returns.

You may also be interested in considering High Yield Bond ETFs High Yield Real Estate Investment Trusts (REITs) High Yield Closed End Funds High Yield Utility Stock ETFs Return from High Yield ETFs to More on High Yield Passive Income

U.S. high - yield bond spreads are 34 basis points, or hundredths of a percentage point, tighter; cover spreads are 21 basis points tighter, and emerging - market credit excess returns are at 3.6 %.

BlackRock's base case for 2017 is that U.S. - led global reflation will accelerate, bond yields will gradually move higher and returns will remain low, as we write in our 2017 Global Investment Outlook.

Meanwhile, Bloomberg reports that pension funds, squeezed for sources of safe return, have been abandoning their investment grade policies to invest in higher yielding junk bonds.

These savvy investors picked up Ford bonds for pennies on the dollar and realized double digit returns in the bond price return, with high yield double digit returns to boot.

We favor shorter - term bonds whose returns are partly shielded from higher yields.

This type of high yield return, mixed with the lack of correlation to bonds and equities makes this an attractive alternative investment.

For instance, safe and liquid bank deposit accounts and short term Treasuries are yielding close to nothing while there are still high yield corporate bonds delivering double digit returns.

Higher risk (higher yield) bonds tend to be closely correlated with equities which means that such bonds do not really dampen volatility or smooth out returns over time when combined with equities in a portHigher risk (higher yield) bonds tend to be closely correlated with equities which means that such bonds do not really dampen volatility or smooth out returns over time when combined with equities in a porthigher yield) bonds tend to be closely correlated with equities which means that such bonds do not really dampen volatility or smooth out returns over time when combined with equities in a portfolio.

While the underperformance of high yield bonds since my post The Case Against High Yield has certainly made high yield bonds more attractive (yields went from sub 6 % to north of 8 %), I still prefer the risk / return profile of a stock / bond allocation (more hehigh yield bonds since my post The Case Against High Yield has certainly made high yield bonds more attractive (yields went from sub 6 % to north of 8 %), I still prefer the risk / return profile of a stock / bond allocation (more hyield bonds since my post The Case Against High Yield has certainly made high yield bonds more attractive (yields went from sub 6 % to north of 8 %), I still prefer the risk / return profile of a stock / bond allocation (more heHigh Yield has certainly made high yield bonds more attractive (yields went from sub 6 % to north of 8 %), I still prefer the risk / return profile of a stock / bond allocation (more hYield has certainly made high yield bonds more attractive (yields went from sub 6 % to north of 8 %), I still prefer the risk / return profile of a stock / bond allocation (more hehigh yield bonds more attractive (yields went from sub 6 % to north of 8 %), I still prefer the risk / return profile of a stock / bond allocation (more hyield bonds more attractive (yields went from sub 6 % to north of 8 %), I still prefer the risk / return profile of a stock / bond allocation (more here).

But after considering the impact of taxes, the taxable - equivalent yield (the return required on a taxable bond to make it equal to the return of a tax - exempt bond) of municipal bonds was a full percentage point higher, at 3.75 %, for investors in the highest (37 %) tax bracket.

Based on these categories, mutual funds receive rankings based on highest - rated value, highest - rated growth, daily gainers and losers, category of highest and lowest returns, highest - rated large - cap funds, highest - rated mid-cap funds, small - cap funds, high - yield bond funds, high and low risk foreign funds, top year to date performers, analysis of prior year's top performers and...

They first look at return correlations and then consider mean - variance portfolio optimization with global equities, U.S. Treasury bonds, U.S. high - yield corporate bonds, emerging government bonds and frontier government bonds.

Although longer - term bonds offer higher yields, they don't necessarily offer enough of a return premium to justify the higher risk when compared to short - term bonds.

Eventually, they'll have to turn to assets like stocks, commodities and higher - yielding bond products that carry greater return — and greater risk.

With the rest of the 20 %, I plan to buy individual California muni bonds that offer higher yields and yields to maturity to juice up the return.

Sure, you can move it into riskier investments like bonds or even high yield bonds to try to juice your returns but a move -LSB-...]

High - yield debt in both the US and international bond ETFs also got a boost after yield - seeking investors moved longer on the yield curve and into riskier debt securities to achieve better returns on their investment capital.

Matt Eagan and a team from Loomis - Sayles who are charged with implementing an Absolute - Return Fixed - Income which centers on high - yield and international bonds, with the prospect of up to 20 % equities.