Sentences with phrase «principal on their bond investments»
As a result of the intervention by the Federal Reserve and the U.S. Treasury, even the bondholders of Bear Stearns stand to receive 100 % repayment of both interest and principal on their bond investments.
http://hussmanfunds.com/ Not exact matches
Default risk Historically, the risk of default on principal, interest, or both, is greater for high yield bonds than for investment grade bonds.
Bond investments are subject to interest - rate risk (the risk of bond prices falling if interest rates rise) and credit risk (the risk of an issuer defaulting on interest or principal paymenBond investments are subject to interest - rate risk (the risk of bond prices falling if interest rates rise) and credit risk (the risk of an issuer defaulting on interest or principal paymenbond prices falling if interest rates rise) and credit risk (the risk of an issuer defaulting on interest or principal payments).
On October 1, 2014, SunAmerica High Yield Bond Fund (SHNAX) becomes SunAmerica Flexible Credit Fund, and that simultaneously make «certain changes to their principal investment strategy and techniques.»
When you buy an individual bond, you buy a fixed income investment that pays you a specific fixed interest and «promises» to return you your principal when due — i.e. on the date when the bond is matures.
The LIBOR is frequently the basis of investments including interest swap agreements (two parties agree to pay each other's interest based on an imaginary amount of money, or principal), bonds with a variable interest yield, and forward contracts (investors use these to hedge risk based on what they believe interest rates will be at a specific time in the future).
The firm was founded to offer investment services with a cardinal mandate: the delivery of superior risk - adjusted fixed income returns to clients; performing on this mandate depends on the avoidance of risk - taking that has led to catastrophic principal losses, even under bond managers once reputed for conservative stewardship.
If you (or your portfolio manager) hold on to your investment, you can enjoy the extra yield from these bonds and get back your principal upon maturity.
Taxpayers loan the government money in the form of purchasing a bond and in return the federal reserves guarantee a return on investment, as well as the principal not being diminished.