Sentences with phrase «long duration assets»

Should the Fed own long duration assets?

He will leave rates low for too long, and buy long duration assets for the Fed, and be reluctant to sell them.

Hedge funds bought long duration assets, stocks and longer bonds, when their capital bases could be withdrawn at much shorter intervals.

If don't take the losses, seigniorage could be considerably reduced, or even vanish, as the Fed funds rate rises, but because of the long duration asset portfolio, asset income rises slowly.

The asset in question is a long duration asset, like a house or a factory.

Like equity, which is a long duration asset, these bonds in the index are noncallable with 25 - 30 years of maturity.

Now, with the pricing mechanism for every long duration asset - 10 - year Treasury yields - rising beyond 3 percent, we have yet another headwind for risk assets.

Not exact matches

«Greenlight believes the traditional investment horizon is too short because equities are long, if not indefinite duration assets.

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.

(4) gaining exposure to a long - duration growth asset, with AAC having demonstrated internally funded compound growth in the asset base of about 4 per cent a year over the last 15 years; and

At one company that I managed money for, I originated a bunch of long duration high quality assets that did not trade.

The First Asset Long Duration Fixed Income ETF provides exposure to longer dated government bonds, with the higher level of income and lower correlation to equity markets that they provide.

More information about First Asset Long Duration Fixed Income ETF is available at http://firstasset.com.

I prefer to keep duration very short because my asset allocation is very aggressive so I'm not willing to take risk on the bond side by going for a longer duration either.

They were even tougher on me when I mentioned the possibility of picking up safer havens like intermediate treasuries via iShares 7 - 10 Year Treasury Bond (IEF) and intermediate - to - long duration municipal bonds via BlackRock Muni Assets Fund (MUA).

People go long a long - duration asset with short - duration funding.

According to Alexi Maravel, associate director at Cerulli, the way a particular insurance company is reacting to a likely interest rate hike depends on its business line: «Life insurance companies, which control the largest amount of insurance general account assets and have to match long - duration liabilities with long - duration assets, are making investment adjustments to their surplus assets, while, on the other end of the spectrum, we find health insurers are raising liquidity.»

«Emerging markets high - yield bonds are thus an attractive asset class for the long - term, offering a similarly high yield to US high - yield bonds, but with a lower duration and better credit rating.»

The lower the cost approaches zero, and the longer the duration approaches eternity, the more the float resembles a perpetual, zero coupon bond which, as I discussed in Part I, will be worth almost nothing as a liability which is really cool because assets financed from the float could be worth a lot, just as happened in the case of Berkshire Hathaway.

First Asset Long Duration Fixed Income ETF is also actively managed and looks to provide unitholders with regular distributions and the opportunity for capital appreciation from the performance of a portfolio comprised primarily of longer dated developed markets, Canadian and U.S. government issued fixed income securities.

First Asset is launching First Asset Preferred Share ETF and First Asset Long Duration Fixed Income ETF.

For example, the short duration U.S. Treasury bond fund is nearly four years old and has yet to gain anywhere close to enough assets to remain viable in the long - term.

You estimate the duration of the crisis, and if it is longer than your liquid assets can finance, you sell some of your best illiquid assets now, and play for time.

After all, the maturing proceeds are short duration assets; the investments of the Fed in longer duration securities would be mostly untouched.

For instance, we know that cash is essentially a zero duration asset that will lose purchasing power over the long - term so if you have no temporal flexibility allocating your savings then your duration is zero and you should remain in cash.

Perhaps we should invest in longer duration risk - off assets like 10 - yr bonds?

In principle, the higher surplus levels and the longer liabilities should allow for investment in longer - duration assets like equities, but the regulations make that difficult.

First Asset Investment Management has launched the First Asset Preferred Share ETF (FPR) and First Asset Long Duration Fixed Income ETF (FLB) on the Toronto Stock Exchange.

The best - performing market on this list was long - duration stripped Treasuries — an asset class used in many LDI strategies — rising over 50 percent in that benighted year.

It will propose to take into account a time horizon which would be longer than one year so that it does not affect the portfolio balance between assets and liabilities and does more correspond to the duration of the non-life insurance contracts.

Because there is no contract value or liquidity, and your guaranteed income is paid to you over your lifetime, longer - duration, higher - yielding assets can be used to support that guaranteed income.

One divorcee gave up her right to a $ 850,000 pension because she didn't know that pensions were marital assets and, as such, are divided during divorce when pensions are acquired during marriages of long duration.

Hunt said the years - long push to invest in commercial property was driven by investors seeking higher returns in an era of low bond yields, while also searching for longer - duration assets.