Sentences with phrase «many bonds in indices»

Moreover, Treasuries are quite sensitive to rate increases, and Ms. Jones found that the credit quality of the corporate bonds in the index had decreased since the financial crisis.

Portfolio managers selecting bonds from this grouping can gain access to the same risk factor without needing to buy all the bonds in the index to get the beta exposure.

At launch, a fund might be highly sampled and only hold the larger, more liquid bonds in its index.

The yield (Yield to worst) on bonds in the index has risen by 95bps since the end of Read more -LSB-...]

Match the interest rate sensitivity of the index, and the credit quality, but choose bonds that had more potential than the bonds in the index.

50 - 50 stocks and bonds in index funds is an excellent start, with annual rebalancing.

Over the same period, 96 % of the bonds in the index traded at least once each month versus the U.S. IG corporate bonds excluding the S&P 500 at 88 % (see Exhibit 2).

The yield (Yield to worst) on bonds in the index has risen by 95bps since the end of Read more -LSB-...]

Yields of bonds in the index have dropped 122bps to end March 7th 2014 at 7.12 %.

About half of the bonds in the index have maturities of five years or less, about a quarter mature within five to ten years, and another quarter extend past ten years.

Even if you did decide to add foreign bonds in your index portfolio, the reference to Greece (or any other country at high risk of default) is a red herring.

As detailed in the diagram below, almost two - thirds of the bonds in the index have issuers with MSCI ESG scores in the leader (AAA or AA) category.

At the end of March the average yield of bonds in the index was a 5.17 % and ended June 10th at a 3.95 % — a 122 basis point drop.

Most bond indexes measure either the underlying price movement of the bonds in the index and / or the fluctuating yields of the bonds.

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

Index fund: a mutual fund or ETF that attempts to match the returns of an asset class or market segment by holding all the stocks or bonds in an index

However, many bonds in indices are not liquid, meaning they do not trade on a regular basis.

Table 1: Select Indices and Corresponding Trade Volume Statistics on the Bonds In Those Indices (Month of November 2015).

In less than two weeks, the weighted average yield to worst of bonds in the index has fallen from 3.43 % to 3.10 % or a 33bp improvement.

Chart 1) Yields of the S&P National AMT - Free Municipal Bond Index and annual average transaction costs of retail size municipal bond trades of bonds in the index:

The S&P Municipal Bond Tobacco Index has seen a positive total return of 4.72 % year to date as average yields of bonds in the index have dropped by 33bps in January.

The sum of all Puerto Rico bonds in that index represents 1.77 % of the total market value of the index.

Bonds in that index have seen a rise in yields of about 61bps since May.

High Yield municipal bonds tracked in the S&P Municipal Bond High Yield index have seen a positive 2.89 % return year to date with yields of bonds in this index dropping by 30bps during January to end at 6.46 %.

Yields of bonds in the index have risen by 88bps for the month of June so far.

Portfolio managers selecting bonds from this grouping can gain access to the same risk factor without needing to buy all the bonds in the index to get the beta exposure.

At launch, a fund might be highly sampled and only hold the larger, more liquid bonds in its index.

The bonds in the index are 66.3 % government and 33.7 % corporate.

As a result, key characteristics of a bond index, such as the average maturity of bonds in the index, can change every year.

It is not possible to create a scalable bond index in any other way, and even then, there will always be some bonds in the index that are impossible to find, and / or, because they are index bonds, they trade artificially rich to similar bonds that are not in the index.

Not exact matches

And through the decade ended in 2015, (the last year for which such results are available) colleges also trailed a passive stock and bond index.

The chart shows the number of transactions in Treasury bonds divided by the MOVE index, or Merrill Lynch Option Volatility Estimate, which measures Treasury market volatility.

Exchange - traded funds that track high - yield bond indexes have been the beneficiaries of a cash surge in recent weeks.

Volatility in the bond markets transcended into equities, knocking down the pan-European Euro Stoxx 600 Index by 0.9 percent and leading Wall Street shares to finish narrowly mixed on Friday.

Exchange - traded funds that track high - yield bond indexes have been the beneficiaries of a cash surge in recent weeks as market participants figure the central bank probably won't raise rates in 2015, and it could be well into 2016 before anything happens.

And in those accounts you're probably investing in all kinds of different things because you can choose from thousands of different stocks, bonds, mutual funds, index funds, REITs, MLPs, and so on.

But that total is dwarfed by the more than $ 1.5 trillion invested in intermediate - term portfolios (3.5 - to six - year average duration), which include core bond funds hewing to the Bloomberg Barclays U.S. Aggregate index.

The MOVE index — which looks at the volatility of bonds — surged after the election, as the sell - off and shakiness in fixed income came to a head.

The Vanguard Total Bond Market Index fund and the iShares Core U.S. Aggregate Bond fund each lost 1.5 percent in the quarter.

Treasury bonds, which tend to have longer durations, now represent more than one - third of the index compared with 22 percent in 2007.

First, he believes that an investor in a low - cost S&P index fund who reinvests all dividends will do better — very likely substantially better — than an investor who buys a 17 - year government bond and reinvests all of his coupons in the same instrument.

His expectation is that the overall volatility of a portfolio 30 percent in short - term bonds and 70 percent in stocks is going to be on par with one that is 40 percent invested in a fund tracking the Bloomberg Barclays U.S. Aggregate index and 60 percent in stocks.

Banks rose along with the bond yields, as the S&P / TSX composite index advanced 84.57 points to 15,524.01, helped in part by the influential financials sector.

Bonds, as measured by the Barclay's Aggregate Bond Index, have risen 5.8 % in 2014, including interest payments.

The bank's MOVE Index of volatility in the world's largest bond market was at 82.7 on May 29, up from 75.3 at the end of April and compared with an average of 77.6 over the past five years.

Which all goes back to my point — since companies change in a lot of unpredictable ways, it makes more sense for passive income to just ride the market by investing in a Total Domestic Stock Market, Total Bond Market, and Total International index funds, with allocations that depend on your goals and time horizon.

Each fund invests in Vanguard's broadest index funds, giving you access to thousands of U.S. and international stocks and bonds, including exposure to the major market sectors and segments.

Its underlying index selects and weights its bonds by market value, and this method yields a portfolio that aligns well with our benchmark in terms of credit tranches and maturity buckets, with the only notable difference being a slightly lower YTM.

The biggest loser last month: foreign government inflation - indexed bonds (in unhedged US dollar terms).

It involves such things as the development of customised bond market indexes, and efforts to remove the various small impediments that individual countries have managed, perhaps unintentionally, to put in the way of investors.