Sentences with phrase «is negative equity»

Also this maybe a bit of a basic accounting question but in PM's case where this is negative equity due to buybacks does one just add back the treasury stock to figure out ROE?
One of the biggest barriers to a satisfactory vehicle refinance is negative equity.
15 Facts About Being «Upside Down» On Your Car Note One of the biggest barriers to a satisfactory vehicle refinance is negative equity.
And there's the negative equity that occurs.
Defaults occur in RRE when there would be negative equity in a sale, and a negative life event occurs:
With Instant Offers, our premise is that there are some situations that necessitate a consumer wanting a simpler, more streamlined sale in a shorter period of time — whether it's negative equity, financial pressures, personal life changes like divorce or a family member passing away whose property is in a different state — and for those situations, we are the only company offering a solution that empowers the consumer to weigh investor offers against an estimate of how much the home would sell for on the open market.

Not exact matches

Investors who were underweight on the Canadian market because of negative outlooks on the Canadian dollar, oil and other commodities are returning, says Lesley Marks, senior vice-president and chief investment officer, Fundamental Canadian Equities, at BMO Asset Management.
Any sign the central bank will raise interest rates faster than expected is viewed as negative for equities since hikes will theoretically lessen the appeal of stocks.
As of mid-2013, the crown corporation is unprofitable and has $ 1 billion in debt, a pension plan underfunded by $ 6 billion and negative net equity of nearly $ 3 billion.
After all, the former economics professor who is now president of the Hussman Investment Trust has made a name for himself by repeatedly predicting a stock market decline exceeding 60 % and forecasting a full decade of negative equity returns — and yet here we sit just 9 % from record highs, even after some bouts of heavy selling.
«Trade friction in and of itself has tended to be a market negative,» said Julian Emanuel, chief equity and derivatives strategist at BTIG.
However, commodities often have a negative correlation to equity - market downturns, and during those times my clients are always reminded of their importance in the strategy.
But the snowballing of negative equity «certainly isn't conservative,» says Rock Lefebvre, vice-president of research at CGA - Canada.
Adds Varga: «It's creating a snowball effect of negative equity
Tactical cash is extra cash you intentionally hold from time to time either because cash rates are so high that they're attractive, or because the prospects for bonds and equities are so negative that you'd rather withhold capital from those two asset classes for the time being.
The homeowners from the group on average have negative equity, meaning they owe more than their house is worth.
And it would be a negative, as far as equity markets and other trading markets are concerned.
The aim of promoting low down payments is to push prices back up so that fewer houses are going to be in negative equity and fewer people are going to walk away from the mortgages.
Auto loans stretching six or seven years are often criticized as a poor choice because they leave borrowers underwater for years before they finally get to a point where the vehicle is no longer in negative equity.
The result is that instead of running the banking system for the economy, Latvia and other post-Soviet economies are managing their economies to maintain bank solvency — as if the indebted population is really expected to spend the rest of their lives paying off the deep negative equity left in the wake of bad loans.
You still have 25 % of American homes in negative equity — that is, when the mortgages are higher than the market value of the housing.
That means if prices go down by only 3 %, the house will be in negative equity and it would pay the homeowner just to walk away and say, «The house now is worth less than the mortgage I owe.
«It's important for investors to remember the reasons they own bonds in the first place — namely for the potential for the preservation of capital, income and growth, relative steadiness and typically low to negative correlations with equities.
But as most debts are denominated in euros — and owed mainly to foreign banks or their local branches — devaluation would cause a sharp jump in debt service, causing even more defaults and negative equity in real estate.
All three major US equities indexes are in now in negative territory for the year.
That said, if bond yields were to climb substantially, let's say towards 4 %, history suggests that the negative relationship between bond yields and equity valuations will begin to reassert itself.
And that is a nominal rate; if, for example, a government were to take on excessive debt and inflate itself to regain solvency, real rates of return could easily be negative for equity holders.
And The New York Times yesterday pointed out that all of the $ 31.5 billion in new aid is not going to be spent on the Greek people any more than the American QE3 is spent here; it's going to be given to the Greek banks to help pull them out of their negative equity and all of their bad real estate mortgages.
I side with Ben in the sense that if one is trying to exploit negative correlation between equities and Treasuries, the yield is a secondary point.
A good example would be 2011; the equity markets were generally in negative territory, and we were up 5 percent.
We lend against collateral, and your collateral mainly is real estate, and real estate is still so much a negative equity that we're not going to lend.
The aim of bank marketing departments — backed by the Obama administration — is to steer credit to re-inflate the bubble and thus save financial balance sheets from their current negative equity position.
It's important to remember that the precious metal has historically shared a low - to - negative correlation with equities.
Without recognizing the role of debt and taking into account the magnitude of negative equity and earnings shortfalls, one can not see that what is preventing American industry from exporting more is the heavy debt overhead that diverts income to pay the Finance, Insurance and Real Estate (FIRE) sector.
Measures of negative equity have become a key component in crafting policies to address the foreclosure crisis, as these borrowers are twice as likely to be seriously delinquent or in default on their first - lien mortgage compared with positive equity borrowers.
So many mortgages, so many assets and so many banks themselves have negative equity — that is, they owe more debt than their assets are worth — that there is no point in buying assets right now.
Their idea of «normal» leaves out of account the fact that this financial sector has gotten rich by loading down the economy with debt — debt that is beyond the ability to be paid, resulting in Negative Equity.
The government is now scheduled to absorb the loss of writing off this negative equity, this extra debt that's been loaded onto them.
It is credit — that is, debt — that is supposed to pull real estate out of its present negative equity.
Although a weaker dollar / stronger euro benefits U.S. multinationals and is negative for European multinationals, we believe that the stronger euro is ultimately a plus for European equities.
The Treasury is taking responsibility for making bad lenders and bad investors whole, but leaving bad debts and even Negative Equity on the books and even putting the government in the position of «debt collector of last resort.»
Foreclosures are still throwing homes onto the market, pushing real estate further into negative equity territory while wealth concentrates at the top of the economic pyramid.
The Negative Equity gap is killing the market and preventing new credit from being extended.
So when the Federal Reserve provides more liquidity to the banks, they are not going to lend to real estate that already has one - third of homes in negative equity.
But banks are not lending more, for the simple reason that a third of U.S. real estate already is in negative equity, while small and medium - sized businesses (which have created most of the new jobs in America for the past few decades) have seen their preferred collateral (real estate and sales orders) shrink.
Tax reform did introduce substantial additional complexity to tax equity finance, however not all of the changes have been negative for solar companies.
This is proof that if you do not spend time or put any strategy toward the development of your outreach, you are not only wasting time and creating negative equity for your offerings, but you're making every other salesperson's job a whole lot tougher.
So the starting point is that one - third of American homes are in negative equity.
The Feds thought what we need to do is re-inflate prices back to bubble levels, so as to keep the debts on the books and save the Banks from having negative equity.
But their negative equity was that of the banks, and people have began to walk away from their homes («jingle mail»).
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