Sentences with phrase «leverage magnified»

Increasing your leverage magnifies both gains and losses.

«Leverage magnifies outcomes, but doesn't add value.»

The use of leverage magnifies both the favorable and unfavorable effects of price movements in the investments made by the Fund.

Third, Howard Marks: «Leverage magnifies outcomes, but doesn't add value.»

Not exact matches

«When leverage works, it magnifies your gains... but leverage is addictive,» Buffett wrote.

Key marketing leverage points (where small investments of time and money will yield magnified returns)

On the other hand, gold miners are essentially a leveraged play on gold prices and they have tended to magnify strength or weakness in gold prices.

• Leverage can magnify the impact that adverse issuer, political, regulatory, market, or economic developments have on a company.

The fund can invest in securities that may have a leveraging effect (such as derivatives and forward - settling securities) that may increase market exposure, magnify investment risks, and cause losses to be realized more quickly.

As the leveraged vol ETFs get larger, their rebalancing impact becomes more magnified and could lead to instability.

Leveraged exposure magnifies the indexs performance, potentially providing higher returns over time.

«In addition to magnifying losses as well as gains, leverage carries an extra risk on the downside that isn't offset by accompanying upside: the risk of ruin» Howard Marks

In their March 2016 paper entitled «Leverage for the Long Run — A Systematic Approach to Managing Risk and Magnifying Returns in Stocks», Michael Gayed and Charles Bilello augment conventional U.S. stock market SMA timing rules by adding leverage while in eLeverage for the Long Run — A Systematic Approach to Managing Risk and Magnifying Returns in Stocks», Michael Gayed and Charles Bilello augment conventional U.S. stock market SMA timing rules by adding leverage while in eleverage while in equities.

In essence, we find that the secret to Buffett's success is his preference for cheap, safe, high - quality stocks combined with his consistent use of leverage to magnify returns while surviving the inevitable large absolute and relative drawdowns this entails.

Magnify your trading potential using the tool of leverage.

The use of financial leverage can potentially magnify gains but also leave the trader with devastating losses.

Leverage tremendously magnifies gains and losses, making commodity trading a high - risk activity.

He recognized early on that applying leverage to safe, cheap, high - quality stocks would magnify returns without the risk of fire - sale, allowing him to stick to the principles outlined above over the course of multiple economic and market cycles.

Leveraging the skills of reflection, self - assessment, and goal - setting will result in a magnified learning process, which leads to both strong responsive instruction and visible student investment.

Here's the bottom line: leveraged ETFs are a great tool for using a little bit of money to make a nice profit, but they can also sharply magnify a bad decision that can lead to great financial loss.

Leverage has the ability to significantly magnify your overall returns (or losses), since you are investing using borrowed money.

The use of leverage in a Fund's strategy, such as futures and forward commitment transactions, can magnify relatively small market movements into relatively larger losses for the Fund.

In the 20s leverage could be 10x, and the volatility that that policy induced helped magnify the boom in the 20s, and the bust 1929 - 1932.

Keep in mind that both risk and reward are magnified with leverage.

But they are confined to some very specific products: namely leveraged ETFs, which magnify the possibility of gains and losses, and synthetic ETFs, which use derivatives rather than holding assets directly.

There are also leveraged ETFs which allow you to magnify the movement, up or down, of an index.

Not for the faint of heart, leveraged REITs are a form of real estate investing that magnify your gains, as well as losses.

Use of leverage tends to magnify increases and decreases in the Fund's returns and leads to a more volatile share price.

As you can see that leverages allow you to magnify your returns, but they can also magnify your losses if the trade goes against your prediction.

Most are heavily leveraged, which means that the fund's earnings are magnified (hence the larger yields), but losses are also magnified as well (yikes!).

Most ProShares ETFs and many ProFunds employ leveraged investment techniques that magnify gains and losses and result in greater volatility in value.

Or it might use leverage to attempt to magnify the movements of a particular index.

You can't earn a return of 5 % without taking considerable risk — and that risk is magnified when you use leverage.

Because of the leverage in CFDs, gains and losses are magnified and the risks are much greater.

Leverage can increase market exposure and magnify investment risk.

Stock options and Futures contracts also use leverage to magnify your possible returns (losses).

Leverage also refers to seeking magnified percentage returns on an investment by using borrowed funds, margin accounts or securities which require payment of only a fraction of the underlying security's value (such as rights, warrants or options).

In investing, the alluring thing about leveraging is that gains are magnified.

Closed - End Funds Bite Back Leverage juiced returns when rates were moored; now it is magnifying losses.

You are absolutely right that with the leverage of AIG so high any changes in asset values of their holdings are magnified on the balance sheet.

Funds invested in these sectors magnified the results of the underlying securities because the funds 1) tend to be leveraged and 2) traded from premiums to, in some cases, double - digit discounts.

Leverage is used to amplify returns, but it has the unpleasant side effect of magnifying losses.

It's very risky to be significantly leveraged in a margin account, however, and not just because it will magnify your losses in a down market.

Forex and CFDs are highly leveraged products which mean both gains and losses are magnified.

However, if the underlying currency in one of your trades moves against you, the leverage in the Forex trade will magnify your losses and these losses may add up very quickly and without sufficient margin remaining in your account, you run the risk of those losses turning into realised losses.

A leveraged ETF typically uses daily futures contracts to magnify the exposure to a particular index.

Leverage allows an investor to magnify their returns, shortening the time it takes to achieve a desired return.

The use of leverage by the Fund, such as the use of options or futures, will cause the Fund to incur additional expenses and magnify the Fund's gains or losses.

When you use financial leverage your mistakes are as just as magnified as your successes, and those mistakes can be big enough to make you a non-investor since you may have no longer have funds to invest.

Since these ETFs provide leverage, both gains and losses are magnified.