If a fund investor is resident in the state of issuance
of the bonds held by the fund, interest dividends may also be exempt from state and local income taxes.
If a fund's investor is a resident in the state of issuance
of the bonds held by the fund, interest dividends may also be exempt from state and local income taxes.
If interest rates rise, the values
of bonds held by the fund would fall, negatively affecting total return.
If a fund's investor is a resident in the state of issuance
of the bonds held by the fund, interest dividends may also be exempt from state and local income taxes.
If long term interest rates were to increase, the prices
of the bonds held by funds such as LQD would drop, and therefore the share price of LQD would drop as well.
What I don't understand is what is the duration
of these bonds held by the fund?
Not exact matches
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.
NEW YORK, Nov 28 - The Federal Reserve faces the challenge
of standing
by as financial markets «correct» as the central bank trims its asset
holdings, U.S. hedge
fund manager David Tepper said on Tuesday, adding he was surprised the
bond - yield curve was so flat.
That means looking at the
fund's objective, average maturity, credit quality, yield and the composition
of the
holdings by bond type.
Although the income from municipal
bonds held by a
fund is exempt from federal tax, you may owe taxes on any capital gains realized through the
fund's trading or through your own redemption
of shares.
Facing redemptions
of less than 2 percent
of assets, it's possible that many
bond funds could have met redemptions simply
by drawing down cash or other liquid assets (after all,
bond mutual
funds held more than $ 200 billion in short - term liquid assets at the end
of May).
With
funds managers
holding about 15 - 20 per cent
of assets in domestic
bonds, the change in the composition
of household assets has translated into higher demand for
bonds — a demand which is no longer being met
by government issues.
Oppenheimer, the large mutual
fund company, also owned some
of the
bonds issued
by Remington, but said it sold its debt
holdings last year.
In
bonds, the Market Climate remains characterized
by unfavorable valuations and unfavorable yield pressures,
holding the Strategic Total Return
Fund to a duration
of less than 1 year.
Strategic Total Return continues to carry a duration
of about 3.5 years in Treasury securities (meaning that a 100 basis point move in interest rates would be expected to impact the
Fund by about 3.5 % on the basis
of bond price fluctuations), and
holds about 10 %
of assets in precious metals shares, and about 5 %
of assets in utility shares.
Unlike most types
of bond mutual
funds which maintain a constant duration, Defined Maturity Funds allow the duration of the fund to shorten naturally, by buying bonds which all mature around a specific maturity date, and holding those bonds to matu
funds which maintain a constant duration, Defined Maturity
Funds allow the duration of the fund to shorten naturally, by buying bonds which all mature around a specific maturity date, and holding those bonds to matu
Funds allow the duration
of the
fund to shorten naturally,
by buying
bonds which all mature around a specific maturity date, and
holding those
bonds to maturity.
(I only have cash and equities) I want an easy option and am on the point
of increasing my
bond holdings by settling on say, one
of Vanguards» Lifestrategy
funds when... «the more I read the more confused I get!»
If so, consider rebalancing your
holdings by moving some
of your money from stocks to
bonds, or, to keep it even simpler, consider moving to a target date
fund, which takes care
of the rebalancing for you.
Custom creation
of ETFs is a process
by which investors — mostly institutional — convert their individual
bond holdings into units
of exchange traded
funds to potentially improve liquidity, reduce trading costs and / or save time.
In
bonds, the Market Climate was characterized
by relatively neutral valuations and unfavorable market action,
holding the Strategic Total Return
Fund to a relatively limited duration
of about 2.5 years.
The BulletShares products,
by allowing investors to
hold the ETF to maturity, can also prevent having to take out principal at a time when prices
of conventional
bond funds are sharply lower.
Furthermore, the repeal
of advance refunding
bonds may have a large impact on short - term
funding for multi-asset portfolios (such as those
held by endowments and foundations).
These projects were approved
by California voters and were supposed to be
funded by the sale
of state
bonds — but they've been on
hold because the state's poor credit rating has made state
bonds all but impossible to sell.
As a result, its yield will tend to move toward prevailing money market rates, and may be lower than the yields
of the
bonds previously
held by the
Fund and lower than prevailing yields in the
bond market.
Because the semiannual inflation adjustments
of a TIPS
bond are considered taxable income
by the IRS, even though investors don't see that money until they sell the
bond or it reaches maturity, some investors prefer to get TIPS through a TIPS mutual
fund or exchange traded
fund (ETF), or to only
hold them in tax - deferred retirement accounts to avoid tax complications.
The price
of the assets would include the closing price on the stock rather than a bid or ask, similar pricing for
bonds held by the
fund, derivatives and cash equivalents.
Even if you're a fan
of active management, you could cut your fees
by a third simply
by investing in an actively managed
fund for the stock component
of your portfolio, buying a low - cost
bond fund or an ETF for the fixed - income portion
of your portfolio, and
holding your cash in a high - interest bank account or money market
fund.
If you own a
bond mutual
fund or ETF (exchange - traded
fund), you'll need to calculate the amount
of income you earned from the
fund's government
bond holdings (if any) in order to take advantage
of this exemption when you file your taxes — it won't be reflected on the tax forms issued
by your investment company.
Strategic Dividend Value is hedged at about half the value
of its stock
holdings, and Strategic Total Return continues to
hold a duration
of just over 3.5 years (meaning that a 100 basis point move in interest rates would be expected to impact
Fund value
by about 3.5 % on the basis
of bond price fluctuations), with less than 10 %
of assets in precious metals shares, and about 5 %
of assets in utility shares.
The fixed - income
holdings of the
fund were collectively represented
by a 5.1 % position in the iShares 1 - 3 Year Treasury
Bond ETF.
An IRA is a vehicle for
holding investments, stocks or
bonds, either as individual
holdings or in a portfolio
of stocks or
bonds created
by a mutual
fund or ETF.
So we the taxpayers are going to eat a ton
of bank losses that should instead be borne first
by stockholders and bondholders This program should be labeled the Pimco bailout plan, since the giant
bond fund holds a lot
of bank debt.
The
fund holds a small portion
of its assets in Puerto Rico municipal
bonds that have been impacted
by recent adverse economic and market changes, which may cause the
fund's share price to decline.
If so, consider rebalancing your
holdings by moving some
of your money from stocks to
bonds, or, to keep it even simpler, consider moving to a target date
fund, which takes care
of the rebalancing for you.
Index
funds attempt to track the performance
of a particular stock or
bond index, such as the S&P 500 ® Index or the Barclays U.S. Aggregate Bond Index, by holding most or all of the securities that are included in that in
bond index, such as the S&P 500 ® Index or the Barclays U.S. Aggregate
Bond Index, by holding most or all of the securities that are included in that in
Bond Index,
by holding most or all
of the securities that are included in that index.
We found what we believe will be an effective way to do so
by implementing an Upgrading approach to the
bond market that will rotate part
of our
bond holdings among
bond funds of different types and maturities.
For purposes
of the Policies and Procedures, the term «portfolio
holdings» means the equity and debt securities (e.g., stocks and
bonds)
held by the
Fund and does not mean the cash investments, derivatives, and other investment positions (collectively, other investment positions)
held by the
Fund, which are not disclosed.
By potentially
holding hundreds — sometimes thousands —
of bonds and stocks in a single balanced
fund, you get more diversification than you would buying individual
bonds and stocks.
By potentially
holding hundreds — sometimes thousands —
of bonds in a single
fund, you get more diversification than you would buying individual
bonds.
Interest earned on the government
bonds held by the trust
funds provided the remaining 10.1 %
of income.
The average maturity is derived
by adding up the maturities
of each
bond in the
fund and dividing it
by the number
of bonds the
fund holds.
The
funds achieve this
by using an all - in - one approach that
holds a mixture
of stocks,
bonds and cash in order to provide a combination
of total returns for retirees.
Big institutions often have to move around large blocks
of money: new inflows for a mutual
fund, or a maturity payment from a
bond held by an insurance company.
The
bonds held by CLF all have fairly high coupons (ranging from 4.25 % to 6.10 %), so they throw off a nice stream
of income, which gets paid out to the
fund's investors every month.
During the final year
of the
Fund's operations, as the
bonds held by the
Fund mature and the
Fund's portfolio transitions to cash and cash equivalents, the
Fund's yield will generally tend to move toward the yield
of cash and cash equivalents and thus may be lower than the yields
of the
bonds previously
held by the
Fund and / or prevailing yields for
bonds in the market.»
During the twelve months prior to the
Fund's planned termination date, its yield will generally tend to move toward prevailing money market rates, and may be lower than the yields
of the
bonds previously
held by the
Fund and lower than prevailing yields for
bonds in the market.»
Bear Stearns averted a meltdown this time, but if delinquencies and defaults on subprime loans surge, Wall Street firms, hedge
funds and pension
funds could be left
holding billions
of dollars in
bonds and securities backed
by loans that are quickly losing their value.
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
Mutual
funds and ETFs are entities which invest into asset classes / sectors / regions (e.g. equities /
bonds, financials / pharmaceuticals, emerging markets / Europe) and then divide ownership
of themselves into shares which are
held by shareholders.
The fixed - income
holdings of the
fund were represented
by the iShares 1 - 3 Year Treasury
Bond ETF (SHY; 8.9 %).