Sentences with phrase «lower debt yields»

The pricing range is now starting at around 150 bps over SWAPS for very low loan to value and high debt yield transactions and can go all the way up to 220 bps for full leverage loans with lower debt yields.

«Dodd Frank made for lower debt yields, now 60 percent loan - to - value (LTV),» said Jonathan Aghravi, managing director of New York - based real estate investment services firm Eastern Consolidated.

Not exact matches

Low sovereign bond yields have long helped the government finance its debt, thus, higher yields would undermine the sustainability of its fiscal position, analysts said.

In the short - term, however, this increased leverage may actually be bullish for junk bonds, corporate bonds, emerging market debt and mortgage - backed securities as it brings higher prices and lower yields, he said.

That might lower the amount of debt entering the high yield market.

U.S. government debt yields were lower on Tuesday after North Korea conducted its most powerful nuclear test and key Fed speeches.

Bonds tumbled as upbeat consumer spending data lowered demand for U.S. debt, pushing the two - year note yield to its highest level since 2011.

Yields in the $ 14 trillion market for U.S. government debt touched record lows in 2016, driven by years of aggressive central bank intervention in the wake of the 2008 - 2009 financial crisis to keep interest rates low to stimulate the economy.

Government debt yields fell to multimonth lows, with the 10 - year yield slumping below 2.1 percent as stocks declined on global economic worries.

Second, the average time to maturity on U.S. debt is six years, meaning that most of the low - yielding bonds now on the books will be exchanged for more expensive debt over the next decade.

Treasury prices rise, pushing yields lower, on Monday after solid appetite for two batches of government debt auctions see strong bidding, ahead of what's set to be a deluge of sales of government debt in 2018.

debt obligations of the U.S. government that are issued at various intervals and with various maturities; revenue from these bonds is used to raise capital and / or refund outstanding debt; since Treasury securities are backed by the full faith and credit of the U.S. government, they are generally considered to be free from credit risk and thus typically carry lower yields than other securities; the interest paid by Treasuries is exempt from state and local tax, but is subject to federal taxes and may be subject to the federal Alternative Minimum Tax (AMT); U.S. Treasury securities include Treasury bills, Treasury notes, Treasury bonds, zero - coupon bonds, Treasury Inflation Protected Securities (TIPS), and Treasury Auctions

Roughly $ 10 trillion worth of global government debt, in fact, now carry low to subzero yields.

Compared to the broad XIC, XEG has a) a price to earnings ratio that is only slightly higher, b) a price to book ratio that is lower, c) a debt to equity ratio that is about half of XIC, d) a dividend yield that is comparable and e) profit margins that grew 30 % this year versus 18 % for XIC.

The potential counter weights that could cap the 10 - year yield would be a negative stock market reaction that drives investors to bonds; lower interest rates outside the U.S. that make the U.S. debt relatively more attractive, and good demand for longer - dated securities from insurers and others.

Emerging - market companies have piled on debt in recent years, allured by low interest rates from yield - starved investors.

In fact, investors seeking safety bought even more of the downgraded U.S. debt, pushing prices on 10 - year U.S. Treasuries to within a fraction of face value and yields to an all - time low of 2.13 %.

The share of a large car manufacturer, for example, may trade on a low P / E ratio, and have a great Dividend Yield, but if it has a pile of debt repayable next year then the low share price might be valid.

This leads to a frightening conclusion: that both lower quality and lower yields of such «previously sacrosanct debt represent a potential breaking point in our now 40 - year - old global monetary system.»

Although the bond market is also volatile, lower - quality debt securities, including leveraged loans, generally offer higher yields compared with investment - grade securities, but also involve greater risk of default or price changes.

«The developing credit cancer may be metastasized, and the global monetary system fatally flawed by increasingly risky and unacceptably low yields, produced by the debt crisis and policy responses to it.

• Lower - quality debt securities generally offer higher yields but also involve greater risk of default or price changes due to potential changes in the credit quality of the issuer.

Investing in higher - yielding, lower - rated, floating - rate loans and debt securities involves greater risk of default, which could result in loss of principal — a risk that may be heightened in a slowing economy.

Western allies press Trump to maintain nuclear deal with Iran: Reuters US intelligence monitors Iranian cargo shipments into Syria: CNN A trade war is a major risk for China's debt - ridden economy: CNBC Federal judge orders gov» t must accept new DACA immigration applications: WaPo Unification of Koreas still unlikely as leaders prepare to meet: Reuters US Consumer Confidence Index rebounded in April after March decline: CB New home sales in US increased to 4 - month high in March: MarketWatch Richmond Fed Mfg Index turns negative for first time since 2016: Bond Buyer S&P Case - Shiller Home Price Index surged in Feb, up 6.3 % y - o - y: CNBC Federal Housing Finance Agency: US house prices continued to rise in Feb: HW Corp bonds with lowest investment - grade rating look vulnerable: Bloomberg 10 - year Treasury yield reaches 3.0 % for first time since 2014: CNN Money

Oil prices have fallen more than 15 percent since March 4 to a six - year low of $ 42.3, wiping out $ 7 billion of market value of high - yield debt issued by energy companies.

According to Bloomberg data, EM debt is offering yields of above 4 %, and despite a strong year - to - date performance (more than 13 %), we see potential for significant income with lowered spread risk, given the diminished expectations of a near - term Fed move.

You can invest in higher yielding properties at much lower valuations for $ 5,000 — $ 10,000 minimums versus coming up with a $ 200,000 + downpayment and taking on $ 1,000,000 in mortgage debt for the median SF or NYC home price.

What this means in practice is that we have kept maturities of our investments very short, particularly for low - risk issuers such as governments and agencies, while we seek out opportunities to increase portfolio yield with what we think is well - priced corporate debt.

I screened for Aristocrats which had a sustainable payout ratio, a reasonable dividend yield, relatively low debt / equity ratio, and positive projected earnings.

Structural factors such as aging populations, poor productivity growth and high debt levels mean historically low government bond yields are likely here to stay.

In the case of the last crisis, yields went over 20 % on junk debt and even high - grade credits like Comcast and Nordstrom's were yielding in the low teens.

December was another solid month for European high - yield debt, with Barclays's benchmark cash index tightening by 40 basis points, ending the year at a new post-crisis low.

If you'll recall, the root cause of the collapse a decade ago was the market realization that all this debt that was being sold to investors as high yield and low risk was suddenly reevaluated.

In recent months, the yield on US corporate bonds, especially investment - grade securities, is a little more than 100 basis points compared to the yield on government debt, dropping within striking distance of the lows seen post the 2008 financial crisis.

Valentum's investment policy favours companies with low - debt levels, high FCF yields and high quality management teams.

The continuing low level of government bond yields has supported the search for yield that has been evident over the past couple of years, with the spread between yields on US government debt and yields on both corporate and emerging market debt remaining around historical lows over the past three months (Box B).

With interest rates on low - risk investments falling to low levels in many countries, investors have sought to maintain yields by moving into higher - risk assets such as corporate debt and emerging market debt.

Money is now flowing out of high yield debt which has been priced as if defaults will remain very low.

This saw yields on Japanese government debt rise steadily in March and April to around 1.5 per cent, 30 basis points above their mid-February low.

Personally I think mortgage debt is the only good debt, but I'm not sure I'd use it to buy low - yielding bonds.

Privately held debt of the U.S. government as a share of GDP increased this cycle to 74 % from 39 % in 2008, prompting concern that the U.S. is doomed to a debt trap in which high debt and low yields result in more debt.

An inverted yield curve is an interest rate environment in which long - term debt instruments have a lower yield than short - term debt instruments of the same credit quality.

Yet by setting yields so low and bond prices so high, markets are sending a clear signal that they want more, not less, government debt.

When investor preferences are risk - seeking, overly loose monetary policy can have a disastrous effect by promoting reckless speculation and enhancing the ability of low - quality borrowers to issue debt to yield - starved investors.

With corporate debt markets priced for another Great Depression, High Yield Bonds are in a unique position to outperform equities given recent runups off the lows while providing a high yield income stream for years to Yield Bonds are in a unique position to outperform equities given recent runups off the lows while providing a high yield income stream for years to yield income stream for years to come.

As I've mentioned before, about $ 10 trillion worth of global government debt now carries historically low or negative yields.

The Oakmark Equity and Income Fund invests in medium - and lower - quality debt securities that have higher yield potential but present greater investment and credit risk than higher - quality securities, which may result in greater share price volatility.

-- Localities in the $ 3.7 trillion municipal market are planning the largest wave of debt sales in almost three months, bucking a trend of diminished borrowing that's pushed yields to the lowest since June.

More than likely your pension fund and your bank all have substantial positions in low (or negative) yielding debt.

Yield spreads between emerging market sovereign debt and US Treasuries have remained relatively low over the past three months in most markets (Graph 12).