Sentences with phrase «not investment grade»

The rating agency maintains a B3 corporate rating on BJs, which is not investment grade.
But what is or is not investment grade is determined by the ratings agencies, who are still using historical models to rate newly issued papers.
Bonds that are not investment grade are much more likely to default than investment - grade bonds.

Not exact matches

At the moment, the ECB can not purchase Greek bonds because they do not have an investment grade rating.
Hire an investment adviser that doesn't need the BICE to deliver fiduciary - grade investment advice.
My team in Fidelity Capital Markets evaluated the implications for issuers, and we didn't find many investment - grade issuers that would be affected by the House plan.
Since its 2014 high on December 29, the S&P 500 Index has gained 1.5 % (not including a fraction of a percent in dividends), the Dow Industrial Average has gained 1.3 %, the Dow Transportation Average is down -5.8 %, the Dow Utilities Average is down -8.9 %, market breadth has churned sideways, and investment grade corporate spreads are flat (though junk spreads have come in about two - tenths of a percent).
In fact, the bulk of BKLN's portfolio is below investment grade and debt from firms in bankruptcy is not ruled out either.
More broadly, he says that while corporate credit may benefit from aspects of tax reform (i.e., better earnings growth from the corporate tax cuts, modestly lower investment grade supply as repatriation becomes reality), he does not see tax cuts at this point in the cycle as a bullish driver of credit spreads.
Don't fall for empty promises and work only with dealers that sell LMBA - approved investment - grade precious metals.
Property and casualty insurance companies invest a substantial percentage of book value and policyholder «float,» which is money they hold until policy claims are paid out but do not own, in investment - grade bonds, particularly corporate bonds.
On the other end of the scale, Schwab will only let you search investment grade bonds online (you must call the bond desk to trade junk), will only let you buy online (you must call to sell), and does not allow limit orders at all.
For example, Fidelity will allow you to search both investment grade and junk bonds, show you the number of bonds available at both the bid and ask price, and will even allow you to submit a limit order (although you can not put in a good until cancelled order or one that is more than a small amount away from the current bid / ask).
The «model» behind our largest investment required nothing more than sixth grade math, and a napkin — not a sophisticated spreadsheet capable of more numbers than I'm capable of counting.»
As referenced above, Kite is not immune to weaker tenants like Toys - R - Us and Bed, Bath, & Beyond; however, many of Kit's top tenants are investment grade - rated:
At its peak, Teck had more than $ 7 billion in debt outstanding, which caused its leverage ratio to rise, resulting in the company not only losing its investment - grade credit rating but getting downgraded deep into junk territory.
The bottom line of Draghi's answers was that the ECB would only buy government bonds rated lower than investment grade if the countries are in a bailout programme and the programme is not in a review period.
The bonds are all investment - grade and short - term so don't go looking for yield here.
It offers a proxy for direct investment in institutional grade commercial property with its attractive yield based characteristics for the majority of the institutional and private investor universe which, until now, has not had a mechanism to benefit from the asset class.
Bloomberg Gadfly's Lisa Abramowicz (follow her on twitter here) outlined in a recent piece The Credit Boom that Just Won't Die the insatiable demand for investment grade credit.
For example, investors seeking exposure to investment grade bonds know that an index investment grade bond ETF will only hold these bonds, and won't dip into high yield securities.
The value of a stay at home mom must not be graded on the cleanliness of her home, it shall be valued for their selfless investment in their children.
«The problem with using grade school math to analyze an economic development project of this magnitude is that it doesn't take into account the multi-billion dollar investment from SolarCity, and impact of the thousands of direct and indirect jobs that will be created statewide,» said Jason Conwall from Empire State Development.
Connie Moran, the investments teacher for grades 6 - 8, explained how the lesson works: «These lessons are not by grade level, but progress in difficulty.
It was an $ 8,000 investment, and we use the test scores to identify kids who have AP potential but who might not think of themselves that way because their attendance or grades haven't been that great.
[190] The TIFIA debt can not exceed the amount of the senior obligations unless the TIFIA credit assistance receives two investment grade ratings.
To maintain the value implied by the senior debt rating, the TIFIA debt can not exceed the amount of the senior obligations unless the TIFIA credit instrument receives two investment grade ratings.
Until such time as a formal investment - grade rating is assigned, the Secretary shall not extend credit in an amount exceeding the estimated subsidy cost.
This will not be the cheapest M3 Cabrio on the market today and we believe should be the most expensive - we do also believe this is another blue chip investment grade vehicle and a true modern classic.
The reasonable investment will not only enable them in saving time but it will help in getting best grades and score the highest marks on the specific subject.
While the market may not be trading high - yield junk for investment - grade positions as quickly as New Yorkers are trading in their flip - flops and shorts for scarves and umbrellas last week, market demand has shifted in October.
That said, the investment grade corporate bond market, the junk bond market, and the bank loan markets can't have a better year in 2010.
As for equities, investment grade assets that are not likely acquirers look good.
A healthy dollop of investment - grade fixed income that isn't overly sensitive to interest rates helps produce reliable income and keeps portfolio values stable.
If you had your nest egg primarily in GICs or investment - grade bonds before the crash, you avoided the stock market meltdown and did well in the immediate aftermath.
@Phil S: While I agree that a number of questionable ETFs are getting launched (a recent cloud computing ETF comes to mind), in this case, investment - grade corporate bonds are not a particularly crappy investment.
Though you may not risk losing any of your money, losing purchasing power to inflation can be a risk over time with conservative investments, such as high - quality investment - grade bonds.
In particular, many funds that own these are not permitted to own other than investment - grade securities.
Many people realize that rising interest rates affect yields and prices, but what others might not know is that if you stick closely to short - term, investment - grade debt securities - the very kind our Near - Term Tax Free Fund (NEARX) invests in - the impact of such a rate hike is not as dramatic as some investors might think.
I also reduce the percentage exposure to any bonds that do not qualify as investment grade.
A: When you know you will need the money within 2 years, I don't think you should take any more risk than a short - term investment grade bond fund.
But with the yield on long low - investment grade bonds hovering above 5 %, I can tell you with certainty as a life actuary that the life companies are not providing a 7 % return to retirees — it is far, far less, more like 4 %, or maybe less.
The pricing of stocks is not arbitrary — a high price must be justified by high earnings relative to where an investment grade bonds yield.
If the equity markets rally, investment grade corporates and high yield will not be far behind, but this portfolio would lag.
So if a company is drowning in debt and has little capacity to pay it back, its bonds will get a junk rating and they won't make into indexes that hold only investment - grade issues.
(Note: GE capital could not be A - / A3 rated, or their commercial paper would no longer be A1 / P1 which is a necessary condition for investment grade finance companies to be profitable.)
@Jerry, I agree that today the main risk in bonds is duration risk (AKA interest - rate risk)-- last weekend's Barron's has an interview with the UBS Wealth Management top managers pointing out this means convincing investors to switch from Treasuries and investment - grade corporates to well - selected junk (HYLD is a jewel there — DO N'T go for index funds in bonds, very differently from ones in stocks they make no sense... where's the sense in wanting to lend more to companies which are more indebted?!
But I'd be wary of venturing, as some investors seeking higher yields do, into high - yield, or junk, bond funds, as they're generally more volatile than investment - grade funds and don't hold up as well in periods of economic and market stress.
While the above table indicates that traditional investment grade bonds represented by the Barclays U.S. Aggregate are the least correlated to the S&P 500 and offer the best downside protection, that might not always be the case going forward.
High yield bond funds take higher risks with the goal of paying higher yields by investing primarily in securities that are either not rated, or have been rated below investment grade by the major ratings agencies — for taxable funds, BB and below.
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