Some structured bonds can have a redemption amount which is different from the face amount and can be linked to
performance of particular assets.
Not exact matches
William Bernstein wrote about the phenomenon in 2001 article, Dunn's Law Review: The Life and Times
of «Core and Explore,» in which he noted, «[T] he fortunes
of indexing a
particular asset class depend on its
performance relative to other
asset classes.»
Tracking stocks are generally common stocks issued by a parent company that track
performance of a
particular division
of a company without having claim on the
assets of the division or the parent company.
These metrics allow this group
of investors with access to extraordinary financial
assets and ability to invest large sums
of money to track current and historical market
performance by a
particular size, investment style and a wide range
of additional market characteristics.
That's a powerful source
of long - term growth but also a palpable drag during short - term panics; in
particular, top holding Aberdeen
Asset Management took a huge hit in January because
of the
performance of their emerging markets investments.
In addition to the strategic annual adjustment
of each fund's target
asset allocation, the adviser may adjust each fund's underlying fund allocations within a
particular asset class based on the following considerations: market trends, its outlook for a given market capitalization, and the underlying funds»
performance in various market conditions.