Sentences with phrase «of bond terms»

Given the limited number of bond terms, and therefore difficulty setting up a bond ladder with such bonds, many use a TIPS fund rather than buy individual securities, but diversification of TIPS is not required either if you do not need staggered maturities (a bond ladder).

You'll also get your $ 1,000 back at the end of the bond term.

At the end of the bond term you will receive your original investment back.

Not exact matches

That data raised a fresh round of questions about how the Federal Reserve will proceed on further cutting back on its massive monthly bond purchases, which have kept long - term rates low and encouraged a strong rally on equity markets.

But longer term, rising rates will be bad for stocks; therefore, investors may want to evaluate their portfolios and move out of some equities and invest more in bonds, she said.

Today, emerging market bonds, according to different groups out there, different major broker dealers, say about three quarters of emerging market bonds are investment grade, and the market is about a trillion and a half dollars, in terms of depth and breadth.

While I don't presume to read traders» (or trading computers») minds (see Barry ritholtz» note this morning about ex post facto rationalizations), generally speaking there is concern that the «taper» of long term bond purchases will cause bond yields (the percent of interest paid on them) to rise.

While the short - term advantage is a stronger balance sheet, the long - term impact is a degradation of the bond between employer and employee.

What that means is that you are in an environment that is going to have further trouble in terms of investment returns that are in areas that are based on economic growth and areas that do relatively well like bonds... Broadly speaking, I think that investors should be looking for lower prices on most risk assets in these developed countries with the exception of Japan.»

But, «the U.S. and the Bank of England have gone to more extremes because they have interest rates below the Bank of Canada's, and they've also been buying bonds to lower longer term interest rates,» Shenfeld added.

Still, combine the indications of the short - term bond market with today's 5 % GDP news and you get the sense that stock traders betting on low interest rates for longer periods of time may soon have to bail out.

The longest - term portion of the offering, $ 8 billion of bonds maturing in 30 years, sold originally at 99.4 cents on the dollar to yield 1.95 percentage point more than comparable Treasuries.

He was so confident of it, he described at length the practical challenges of prepaying all the outstanding long - term Treasury bonds.

A large share of Italian debt issued under domestic legislation does not have any contract terms and is regulated by an Italian law that gives the Italian Treasury ample latitude to restructure the debt... The composition of Italian public, however, is changing rapidly because in January 2013, Eurozone members started issuing bonds with standardized contract terms.

Wall Street has found a semblance of stability after a roller - coaster week, but some investors are convinced the rockiness in stocks and bonds isn't quite over for one main reason: The markets have yet to fully come to terms with how aggressively the Federal Reserve may respond to surprising economic strength.

In March 2018, SES secured an eight - year EUR 500 million Euro Bond at a low annual coupon of 1.625 % which allows SES to refinance an upcoming debt maturity at more favourable terms.

Others have noted that if the Fed continues raising short - term rates while long - term rates remain stalled, it could turn the shape of the bond yield curve upside down, a typical signal of recession.

The restructuring can be relatively gentle, such as a cut in rate, stretch - out of term, and the loss paid in some form of equity participation bonds in the future growth of the countries.

At the time, respondents to the Compas poll recommended the biggest share of the portfolio go toward short - term cash investments (29 %) and government bonds (17 %).

Alternatively, it's best to shorten the average term to maturity of your bond portfolio as interest rates enter into a rising cycle, because the shorter the term, the less their price will be affected.

That money, which is mostly held in short - term U.S. bonds and money market funds, was kept in Ireland for years, until an investigation by the European Union into whether the company failed to pay taxes caused it to move its holdings to Jersey, a small island off the coast of Normandy that rarely taxes corporations.

We believe that long - term tax - free municipal bonds that offer near - 4 % yields (a 6.62 % taxable equivalent at today's top rate and 6.15 % even at the new proposed top rate of 35 %) still offer superior value.

But the simple fact is she just doesn't know, because she doesn't know when the effect of a higher coupon has a more powerful effect on a bond's price than does a shorter term.

For instance, under recent scrutiny are negotiable certificates of deposits (NCD), a kind of short - term bond, and niche products like perpetual notes, a long - term debt instrument that can be listed as equity rather than debt on balance sheets.

Other funds pulling in money lately include the Vanguard Intermediate - Term Corporate Bond and SPDR Barclays Short Term Corporate Bond, both of which took in more than $ 300 million over the past week.

To reduce the risk of capital losses, sell bonds and bond funds with a 10 - year - plus time horizon and buy short - term notes instead, says Dominic Bellissimo, a portfolio manager with Dynamic Funds.

Four of the top 10 funds in terms of inflows from Oct. 7 - 13 came from the bond sector, and two of them were focused on high - yield, or junk.

«It is a terrible mistake for investors with long - term horizons... to measure their investment «risk» by their portfolio's ratio of bonds to stocks,» Buffett wrote in the February 24 letter.

S&P also notes the success of the AMNH's last bond issuance in 2004 and its lack of additional debt in the short term.

However, in my three decades of experience coupled with reading about markets before my time, the only strategy that I see standing the test of time is to buy solid blue chip dividend - paying stocks from diverse industries, hold them for the long term, and diversify them properly with a judicious allocation to bonds and cash.

And corporations have spent the last decade issuing longer - term bonds to take advantage of low interest rates.

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.

While U.S. savings bonds have lost popularity as a means of long - term savings due to the low interest rates they currently earn, some retirees have been holding on to bonds that were issued when rates were higher.

«The market is paying very much attention to the dollar and bond market in terms of what the Fed is going to do.»

In April, the Crawford committee released details of a plan to convert the frozen short - term notes into long - term bonds, some with maturity dates almost a decade away.

Its largest holding was the Vanguard Short - Term Bond ETF, which has an expense ratio of.07 %, or $ 7 per $ 10,000 invested.

This tool uses the present value of bond portfolios, adjusted for interest rate and inflation expectations, to show current retirees how much in retirement savings they need today to account for every $ 1 they need in the future, assuming they hold a portfolio made up entirely of investment - grade bonds and longer - term Treasurys.

Work with a financial planner to create a long - term investment portfolio of stocks, bonds and real estate that is aligned with your financial goals and risk tolerance.

Bernanke strongly defended the U.S. central bank's bond - buying stimulus, saying he sees little risk of higher inflation in the near term.

«Apple of course has huge amounts of cash, but... the cost of borrowing now is so unbelievably low that issuing long - term bonds... is actually a very smart thing,» Schwarzman said on CNBC.

In absolute terms, British government bonds weren't the best performer of 2014.

Bonds have historically had little correlation to equities except in market crisis situations, so creating a portfolio of both equities and bonds makes a whole lot of sense as a long - term inveBonds have historically had little correlation to equities except in market crisis situations, so creating a portfolio of both equities and bonds makes a whole lot of sense as a long - term invebonds makes a whole lot of sense as a long - term investor.

The Fed had lowered interest rates down to zero in terms of short - term rates and that pushed bond yields down.

Obvious possibilities include bank certificates of deposit, zero - coupon bonds (especially good for college - tuition savings), short - to medium - term government bonds, and top - rated corporate bonds.

With a fresh picture of your 2016 results and how your holdings are divided between stocks, bonds and cash, it should be easy to «rebalance» — sell some holdings and add to others to get back to the proper mix for your long - term plans.

Although the retailers have been negotiating with bond holders, who have accepted significant discounts and offered longer terms, the basic financials are enough for Moody's to rate 13.5 percent of the retailers it follows as a Ca or Caa credit risk.

That market participants have finally come to terms with the Federal Reserve's normalization plans is just one of the reasons short - term bonds are finally looking attractive again after years in the doldrums, as we explain in our new Fixed income strategy A mighty (tail) wind.

Short - term bonds are looking attractive again after years of near - zero yields.

It's more expensive to trade bonds, in terms of bid - ask spreads or volatility or the time to get a trade done.

The long - term implication is that investors and the public at large can have more trust in the security and liquidity of the U.S. Treasury bond market.