Sentences with phrase «illiquid bonds»

Prior research has established that illiquid bonds tend to have higher spreads (i.e., greater trading costs) than liquid bonds.

While illiquid bonds had slightly higher credit spreads and directionally higher average returns, portfolios that tilt toward (away from) less (more) liquid bonds exhibit considerably higher levels of volatility.

In some ways, my rookie errors with small cap stocks helped me become a very good illiquid bond trader.

In some ways, my rookie errors with small cap stocks helped me become a very good illiquid bond trader.

I've had that problem as well, both with small cap stocks, and institutionally trading illiquid bonds.

When there is a run on the fund, the fund has to meet redemptions and sells its most liquid bonds first (Treasuries, etc.) only to then have to sell illiquid bonds that they carried at inflated values, and they have to sell these bonds for cents on the dollar to some hedge fund.

Also, I know what the temptation is to mismark illiquid bond positions when incentive payments may be riding on the result (which is why we took the marking out of our hands at a prior firm).

But broad bond index funds can never do this: the major DEX indexes are enormous, and they include illiquid bonds the fund couldn't buy even if it wanted to.

I put in a fudge factor because illiquid bonds are higher beta, and then studied which of my brokers might have a bead on the bonds in question.

I dealt in more illiquid bonds than most managers would.

Having traded small and microcap stocks, and traded illiquid bonds, I am less afraid of illiquidity than many are.

Spread differences between liquid and illiquid bonds were insignificant within the same issuers.

An illiquid bond can go weeks without trading.

There could, however, be a serious problem lurking in the underlying assets held by the ETFs, as many have been forced to pay a large premium for lower quality, illiquid bonds.

The result was an illiquid bond market.

I have seen this in the market myself, and seen management teams struggle with how to price an illiquid bond when tax loss sellers bomb the market at the end of a year

An illiquid bond can go weeks without trading.

Better to have a ladder of high quality noncallable debt, and take some risk with equities than to take risk in a series of yieldy and illiquid bonds that you don't understand so well.

In a time of panic, those insights are golden, because other managers toss out illiquid bonds that they don't fully understand.

I remember how delicate I had to be when I owned 35 % of an illiquid bond that we liked, and I needed to sell it down without spooking the market.