Sentences with phrase «highest junk rating»

Not exact matches

Beyond the requirements that liquidity and regulators impose on us, we will purchase currency - related securities only if they offer the possibility of unusual gain — either because a particular credit is mispriced, as can occur in periodic junk - bond debacles, or because rates rise to a level that offers the possibility of realizing substantial capital gains on high - grade bonds when rates fall.

The $ 1.2 trillion market for U.S. junk bonds yields about 6.6 percent, double what's offered by higher - rated company debt, according to Bank of America Merrill Lynch index data.

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

Some 5.7 % of corporate junk bonds from emerging markets are trading at prices below 70 cents on the dollar, more than double the rate for higher - risk U.S. bonds, according to JPMorgan.

However, high - yield (junk) bond funds and international bond funds can be affected by factors other than interest rates.

Junk bond funds are largely out of favor this year, but an interest - rate - hedged high - yield bond ETF is beating that trend.

Relatively high debt loads as featured on pretty much every junk - rated issuer's balance sheet must be serviced with cash.

Now, with the magic of QE2, the Fed wants to drive long - term rates down to unseen levels and push all Treasury investors (short or long) towards higher - risk assets — junk bonds, real estate, stocks, and commodities.

Investments in high - yield («junk») bonds involve greater risk of price volatility, illiquidity, and default than higher - rated debt securities.

It helps that the most bankruptcy - prone borrowers, junk - rated oil companies, are being bailed out by higher crude prices.

Moreover, covenant - lite loans — high - risk instruments issued by junk - rated borrowers, with few protections for creditors — made up 72.5 % of that total, a record.

This risk is higher when investing in high yield bonds, also known as junk bonds, which have lower ratings and are subject to greater volatility.

While Texas's childhood obesity rate does remain stubbornly high, what would it look like today if the TSNP hadn't been in place for the last decade to curb the worst junk food on school campuses?

Yes, school meals in France are indeed superior to ours, but that's reflective of a government so supportive of raising good food citizens that it actually provides state - sanctioned «taste training» to all preschoolers, puts warnings on junk food ads, and funds school meals at a far higher rate than our own government.

All one can say is that Kitavans, with their diet of far less junk food, higher (cellulose) vegetables, high MCTs, lower protein, that may help result in short and lean stature likely secondary to lower IGF - 1and mTOR (known longevity factors in animals), with their less stressed lifestyle gives them low rates of heart disease and diabetes but with only an average lifespan with few centenarians, that may likely be despite eating starches than because of it.

All one can say is that Kitavans with their diet of far less junk food, lower protein, higher (cellulose) vegetables, high MCTs, that may help result in short and lean stature, with their less stressed lifestyle gives them low rates of heart disease and diabetes but with an approximately average lifespan with few centenarians.

Those are all examples of wholesome high - carb meals resembling (and often surpassing in taste) common junk foods that could provide a kickstart to your metabolic rate.

The 2016 budget is currently $ 4 billion out - of - balance, the state's credit rating has fallen to within four notches of junk status, and the state's pension shortfall has reached an all - time high of $ 111 billion.

Today our Measures of Student Learning Committee met to decide precisely how thoroughly invalid junk science measures will be used to rate teachers in Francis Lewis High School.

High - yield bonds (also known as «junk bonds») may be subject to greater levels of interest rate, credit, and liquidity risk than investments in higher rated securities.

Non-investment-grade debt securities (high - yield / junk bonds) may be subject to greater market fluctuations, risk of default or loss of income and principal than higher rated securities.

These floating rate bonds are a good alternative to high yield corporate and junk bonds when interest rates are rising.

Notes in the lowest rungs above high - yield junk — in the BBB group from S&P Global Ratings or the Baa bucket from Moody's Investors Service — total about $ 3 trillion, almost the size of Germany's gross domestic product.

The main danger of a junk bond fund is that there will be a higher rate of bankruptcy / default than in an investment grade bond fund.

If prospects are looking worse, no matter what the Fed does to short high - quality rates, junk grade securities will tend to rise in yield.

«junk bond king» wrote a thesis that two percentage points were enough compensation for the likely higher default rate of a junk bond fund over a corporate bond fund.

High - yield, lower - rated («junk») bonds generally have greater price swings and higher default risks.

However, junk - rated corporations are vulnerable to higher borrowing costs in the future.

High - yield («junk») bonds involve greater risk of price volatility, illiquidity, and default than higher - rated debt securities.

However, the interest rate isn't necessarily the same thing as some bonds may have higher yields do to the potential for defaults like junk bonds for example.

To a lesser extent, it has also gone into high - yield mutual funds that buy bonds rated below investment grade, known as junk bonds to those who are dubious of them.»

AAA bonds carry lower yields than junk bonds much like the interest you get when lending to people with higher or lower credit ratings.

Bonds with exceptionally low ratings are known as junk bonds and typically pay the highest interest rates — sometimes in the double digits.

High - yield bonds, also referred to as «junk bonds,» offer higher rates of return, and therefore carry a higher rate of risk, than investment grade bonds.

Equities are typically considered to be the riskier of the two asset types (with the exception junk bonds and other lowly rate bonds) and have traditionally generated higher returns than fixed income assets.

High - yield bonds (sometimes referred to as junk bonds) typically offer above - market coupon rates and yields because their issuers have credit ratings that are below investment grade: BB or lower from Standard & Poor's; Ba or lower from Moody's.

Similarly, some high - yield bond funds may also be too risky if they invest in low - rated or junk bonds to generate higher returns.

For example, the spread between high yield junk bonds and the risk - free rate of comparable treasuries has rarely been this low.

Non-investment-grade debt securities (high - yield / junk bonds) may be subject to greater market fluctuations, risk of default or loss of income and principal than higher - rated securities.

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

By contrast, bonds rated BB + or Ba1 or worse, are treated as high - yield bonds, which many refer to as junk bonds.

Bonds with lower ratings are considered «speculative» and often referred to as «high - yield» or «junk» bonds.

Non-investment-grade bonds (aka junk bonds or high yield bonds) are more affected by factors other than interest rates, including some of the same factors (economic booms or recessions) that affect stocks.

The rate of default is much higher for high - yield bonds, fittingly referred to as junk bonds.

High yield securities are generally rated below investment - grade and are commonly referred to as «junk» bonds.

The theory pushed was that junk bonds offered higher returns but with a lower risk thanks to low default rates.

Investments in high - yield («junk») bonds involve greater risk of price volatility, illiquidity, and default than higher - rated debt securities.

This has particularly been the case for issuers rated below investment grade, like Rogers Communications, who have accessed the well developed U.S. high yield or junk bond market.

So if investors think that bond values will drop due to increases in interest rates, they may panic and request a much higher premium for junk bonds.

Lower - rated or high yield debt securities («junk bonds») involve greater credit risk, including the possibility of default or bankruptcy.