Sentences with phrase «more risky assets»

As an alternative to help the hoousing supply problem without the unintended consequences of govt meddling, moral hazard, taking on more risky assets, and trying to convince people to buy for the wrong reasons, like 4.5 % rates.

Stronger global equity markets contributed to the earlier weakness in the Dollar as traders once again increased demand for more risky assets after reassessing U.S. economic data and the odds of an interest rate increase by the Federal Reserve.

Stronger global equity markets contributed to the weakness in the Dollar early in the trading session as traders once again increased demand for more risky assets after reassessing U.S. economic data and the odds of an interest rate increase by the Federal Reserve.This morning, traders drove equities higher after taking a look at the U.S. em...

The lack of any major economic events and calmer conditions in the market regarding European debt issues is helping to drive up demand for more risky assets.

Rising Global Equity Markets Pressure Dollar Overnight Stronger global equity markets are contributing to the weakness in the Dollar as traders are once again increasing demand for more risky assets after reassessing U.S. economic data and the odds of an interest rate increase by the Federal Reserve.

This front - end alternative is now creating a crowding - out effect for more risky assets by providing a tangible investment alternative with much less embedded risk.

This front - end alternative is now creating a crowding - out effect for more risky assets by providing a tangible investment alternative with much less embedded risk.

Since 2012, however, interest rates have continued to decline along with my risk tolerance for investing in more risky assets.

You then allocate the remainder of your savings to more and more risky assets commesurate with your willingless to not see the potential benefits in retirement.

A portfolio that has more risky assets like equities tends to rise more in positive markets and suffer greater losses in negative markets.

It did flood back into the more riskier asset of Stocks and into the «treasuries and bond bubble».

Yes, there will be slightly larger short - term losses with the addition of the more risky asset classes, but these asset classes also rebound much faster when the market turns around.

The far more risky asset class was paying the far lower return.

You're getting a higher return, but it also is a much more risky asset.»

Not exact matches

More specifically, investors have sought the potential for higher returns from riskier assets like private company stocks, as safer investments like T - bills and bonds pay out next to nothing.

«So they're more willing to bet on the market and stocks and risky assets.

«In a strong market, people tend to take more risks and move into some riskier assets.»

However, from a banker's perspective, a newly formed corporation is a more risky loan applicant than an individual with a home and other assets.

With $ 30 billion of assets to sell in the wake of its acquisition of BG, Shell is a riskier but possibly more rewarding bet on the oil price.

Second, since capital requirements are now much more stringent both in their definition of what constitutes capital and in their coverage of risky assets, banks face higher costs for expanding their balance sheet.

The lawsuit further alleges that participants were not given information about how much of their assets were allocated to private equity and hedge fund investments or information about how risky and more expensive these assets are.

Banks have boosted their asset - management businesses after the 2008 financial crisis, while curtailing riskier and more capital - intensive trading units.

This very low market volatility can lead investors to take on more risk, and in a period of still relatively low interest rates, to «reach for yield» — that is, buy riskier assets than one would otherwise, in order to achieve a desired profit or savings goal.

Perhaps more surprisingly, some of the riskiest assets did as well.

Losses in risky assets will dissipate investor confidence, undermine economic activity, and leave the Fed with little choice other than to step on the accelerator for more easy money.

You end up taking more risk by buying riskier assets which pushes up its price causing you to feel wealthier.

Given term premium suppression (via QE) reduced volatility and induced investors to buy risky assets to boost returns, a sustained rise in long - term interest rates would give investors more options to achieve yield targets, thus making risk assets appear less attractive and ultimately erode demands for yield and tighten financial conditions.

But make no mistake — by moving more of us out of super-safe cash and gilts and into riskier assets like peer - to - peer savings, corporate and retail bonds and equities, the stakes are being raised for everyone.

Retirement researchers have begun to suggest in recent years that the optimal approach might be to reduce your exposure to shares and other risky assets as you approach end - of - work D - Day — but then to actually start to add more shares to the mix again as you proceed through retirement.

Your stash of savings is depleting as you continuously shift more of it into long - term, riskier assets such as equities and REITs.

Specifically, you simply move along the efficient frontier and into other risky assets with lower risk and more diversification, e.g. bonds.

«The unit at the centre of JP Morgan Chase's $ 2 billion trading loss has built up positions totalling more than $ 100 billion in asset - backed securities and structured products - the complex, risky bonds at the centre of the financial crisis in 2008.

Since March 2009, the S&P 500 Index has had a total return of approximately 250 %, driven by two primary factors: First, super-easy global monetary policy in the wake of the banking crisis, which drove down returns on safe assets to the point where risky assets became a much more compelling proposition than is typical.

As everyone's focus narrows to a single event or issue, risky assets tend to all behave in a similar fashion and benefits of international diversification are more muted.

From that perspective, a conventional portfolio of passive assets (60 % stocks, 30 % bonds, and 10 % cash) has never been more risky.

Here and now, it's very true that the S&P 500 is a risky asset, but it's madness to imagine that adding more of it to a portfolio will increase expected return, except for investors with very long horizons.

Empirical studies find that household savings will typically decline when interest rates fall.17 This suggests that workers, instead of saving more, generally choose to invest in riskier assets, work longer or earn lower retirement incomes.

One of the more unique aspects of this year's market is that both risky assets as well as investments that seek to hedge those risks are advancing simultaneously.

If you put your $ 5,000 into a riskier asset class such as stocks (ie a stock mutual fund) then in 6 months your investment might be worth more than $ 5,000 or it could be worth less than $ 5,000 (possibly a lot less).

As everyone's focus narrows to a single event or issue, risky assets tend to all behave in a similar fashion and benefits of international diversification are more muted.

That means that as your stock funds increase in value relative to your bond funds, a greater portion of your investment portfolio will be held in these riskier, more aggressive assets — something that could throw off your allocation and risk tolerance.

In financial theory, riskier investments are expected to be more profitable because investments normally offer a reward in exchange of risk absorption — if they offered no reward, investors would buy the less - risky assets instead.

That might help explain why investors - though not avoiding risky assets altogether - seem to be turning more selective.

However, I'm concerned when people tell investors they «need to invest more in assets that are riskier.»

If you're more risk adverse, you'll want to consider your exposure to riskier assets, such as real estate, commodities, and even international stocks and bonds.

Unsecured loans are not secured by property or personal assets and are therefore more risky for lenders.

This lack of asset protection makes your stock account even more risky and this threatens the security of your retirement and estate plan.

Asset allocation can involve diversifying * investments with some that are traditionally more stable and others that are more risky but offer greater potential returns.

At base, an absolute value discipline holds that you should not put money into risky assets unless you're being more than compensated for those risks.

Riskier assets like stocks have a higher rate of expected return so if your time horizon is long enough, don't avoid stocks completely just because they are more volatile than fixed income or cash.