Sentences with phrase «rate bonds securities»

Not exact matches

Institutional investors (such as pension funds) routinely insist on holding only highly - rated securities, so a downgrade can force them to sell that issuer's bonds.

Beyond the requirements that liquidity and regulators impose on us, we will purchase currency - related securities only if they offer the possibility of unusual gain — either because a particular credit is mispriced, as can occur in periodic junk - bond debacles, or because rates rise to a level that offers the possibility of realizing substantial capital gains on high - grade bonds when rates fall.

a government, corporation, municipality, or agency that has issued a security (e.g., a bond) in order to raise capital or to repay other debt; the issuer goes to an underwriter to get their securities sold in the new issue market; for certificates of deposit (CDs), this is the bank that has issued the CD; in the case of fixed income securities, the issuer of the security is the primary determinant of the security's characteristics (e.g., coupon interest rate, maturity, call features, etc..)

In the fixed - income arena, longer - duration1 bonds tend to be more negatively impacted when interest rates move higher as compared with shorter - duration fixed income securities.

The other provinces would have access to Canada Pension Plan surpluses, in proportion to the contributions made by their residents, through the sale of provincial bonds and provincially guaranteed securities on 20 year terms at the long - term federal bond rate.

The fund may invest in asset - backed («ABS») and mortgage - backed securities («MBS») which are subject to credit, prepayment and extension risk, and react differently to changes in interest rates than other bonds.

For example, they could seek to buy resilient bonds that pay decent coupons with limited price downside while simultaneously shorting fixed - income securities that look vulnerable when interest rates and inflation expectations trend higher.

The potential counter weights that could cap the 10 - year yield would be a negative stock market reaction that drives investors to bonds; lower interest rates outside the U.S. that make the U.S. debt relatively more attractive, and good demand for longer - dated securities from insurers and others.

Bond prices rise when interest rates fall, and vice versa; the effect is usually more pronounced for longer - term securities.

In general, the bond market is volatile, and fixed - income securities carry interest rate risk.

Bonds rated below investment grade may have speculative characteristics and present significant risks beyond those of other securities, including greater credit risk and price volatility in the secondary market.

The index covers the U.S. investment grade fixed rate bond market, with index components for government and corporate securities, mortgage pass - through securities, and asset - backed securities.

Bond investors are in constant fear of a replay of the 1970s when interest rates exploded higher in concert with sky high inflation, a double whammy of bad news for fixed income securities.

This was the lesson taught by William Petty in the 17th century and used by economists ever since: The market price of land, a government bond or other security is calculated by dividing its expected income stream by the going rate of interest — that is, «capitalizing» its rent (or any other flow of income) into what a bank would lend.

The Barclays U.S. Aggregate Bond Index is a market value — weighted index of investment - grade fixed - rate debt issues, including government, corporate, asset - backed, and mortgage - backed securities, with maturities of one year or more.

NexPoint Strategic Opportunities Fund (NHF) is a closed end fund that seeks current income with capital appreciation through investment in floating and fixed rate loans, bonds, debt obligations, mortgage backed and asset backed securities, collateralized debt obligations and equities.

When people see banks browbeating the bond rating agencies and accounting firms to whitewash the quality of what they're pawning off on their customers, when they see bank lobbyists getting Washington to block state prosecutions of financial fraud so as to clear the way for more predatory lending and false packaging of the junk securities they're selling and to win the right not to reveal their true financial position, there's a good reason not to buy what's in these black boxes.

NexPoint Strategic Opportunity Fund (NHF) is a closed end fund that seeks current income with capital appreciation through investment in floating and fixed rate loans, bonds, debt obligations, mortgage backed and asset backed securities, collateralized debt obligations and equities.

Moody's Investors Service, which downgraded Tesla's credit rating further into junk in March, still expects Tesla will need to raise about $ 2 billion selling equity, convertible bonds or debt, to offset the cash it burns this year and securities maturing through early 2019.

The PowerShares Total Return Bond ETF is an actively managed fund with the ability to invest in any number of fixed income securities with varying credit ratings, countries, and durations.

Investment - grade bonds represented by the Bloomberg Barclays investment - grade Index, consisting of publicly issued, fixed rate, non-convertible investment grade debt securities.

Fixed Income — When investing in bonds and interest rate - sensitive securities, it is important to note that as interest rates rise, bond prices will fall.

Step - down * Interest on step - down securities is paid at a fixed rate until the call date, at which time the coupon decreases if the bond is not called.

Consider these risks before investing: The value of securities in the fund's portfolio may fall or fail to rise over extended periods of time for a variety of reasons, including general financial market conditions, changing market perceptions, changes in government intervention in the financial markets, and factors related to a specific issuer, industry, or sector and, in the case of bonds, perceptions about the risk of default and expectations about changes in monetary policy or interest rates.

Franklin Limited Duration Income (FTF) is a closed end fund that seeks high current income and capital appreciation through investment in high yield corporate bonds, floating rate bank loans and mortgage and other asset backed securities.

«This first phase includes navigational improvements to help investors more easily find information about individual bonds by drilling down through the intuitive map - based search functionality, and access clearly presented pricing, ratings and material information about individual issuers and their securities.»

The sole investment available is a new Treasury security that earns the same interest rate as the government bond fund available to federal employees.

estimate of annual income from a specific security position over the next rolling 12 months; calculated for U.S. government, corporate, and municipal bonds, and CDs by multiplying the coupon rate by the face value of the security; calculated for common stocks (including ADRs and REITs) and mutual funds using an Indicated Annual Dividend (IAD); calculated for fixed rate bonds (including treasury, agency, GSE, corporate, and municipal bonds), CDs, common stocks, ADRs, REITs, and mutual funds when available; not calculated for preferred stocks, ETFs, ETNs, UITs, international stocks, closed - end funds, and certain types of bonds

I also discussed in Article 8.3 that Treasury Inflation Protected Securities (TIPS) bonds are likely to provide a particularly good hedge against the true risk of unexpected inflation rate increases.

Kroll Bond Rating Agency Europe Limited is registered as a Credit Rating Agency by European Securities and Markets Authority (ESMA)

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.

The Bloomberg Barclays Rate Hedged U.S. Aggregate Bond Index, Negative Five Duration measures the performance of Investment Grade securities and is selected by a Market Value process.

Mortgage rates are driven by a type of bond — mortgage - backed securities.

And if the fiscal problem becomes unstable — more deficit to finance than security markets will allow, the Fed will obey its political masters and finance the deficit by a hyper - inflation, or hyper - tax, as a burgeoning inflation simply taxes all fixed dollar wealth — bonds, dollars, life insurance values, etc. — by the rate of price level increase.

The biggest focus here was on short - term securities, which tend to be less vulnerable to U.S. Federal Reserve's rate hikes than longer - term bonds are.

The investor should note that vehicles that invest in lower - rated debt securities (commonly referred to as junk bonds) involve additional risks because of the lower credit quality of the securities in the portfolio.

The effect in either case would be to tax a few generations heavily, to buy securities that later will be sold in such large quantities as to lower their price, creating a chronic stock market depression (or bond - market slump) that raises interest rates — unless the central bank monetizes the sale.

High yield bonds (bonds rated below investment grade) may have speculative characteristics and present significant risks beyond those of other securities, including greater credit risk, price volatility, and limited liquidity in the secondary market.

Investors have taken note and reduced their demand for Canadian debt securities, pushing up bond yields and, consequently, mortgage rates.

With years of experience trading treasuries, agency bonds, currencies, commodities, interest rates, volatilities and all types of derivatives and structured products, LakeBTC is dedicated to building a bitcoin platform for pricing, liquidity, security, derivatives and indexes.

Inflation - protected securities would likely outperform nominal government bonds amid higher - than - expected U.S. inflation, but stocks might not easily stomach a sharp upturn in interest rates or Federal Reserve (Fed) hawkishness.

Investments in high - yield («junk») bonds involve greater risk of price volatility, illiquidity, and default than higher - rated debt securities.

BarCap Aggregate Bond Index - A broad - based benchmark that measures the investment grade, U.S. dollar - donminated, fixed - rate taxable bond market, including Treasuries, government - rated and corporate securities, MBS (agency fixed - rate and hybrid ARM pass - throughs), ABS, and CBond Index - A broad - based benchmark that measures the investment grade, U.S. dollar - donminated, fixed - rate taxable bond market, including Treasuries, government - rated and corporate securities, MBS (agency fixed - rate and hybrid ARM pass - throughs), ABS, and Cbond market, including Treasuries, government - rated and corporate securities, MBS (agency fixed - rate and hybrid ARM pass - throughs), ABS, and CMBS.

These portfolios primarily invest in U.S. high - income debt securities where at least 65 % or more of bond assets are not rated or are rated by a major agency such as Standard & Poor's or Moody's at the level of BB (considered speculative for taxable bonds) and below.

Fixed income securities, such as bonds and preferred stock, subject investors to the greatest amount of purchasing power risk since their payments are set at the time of issue and remain unchanged regardless of the inflation rate.

While your main points will likely be similar, I agree with Clark that the Barclays US Aggregate Bond Index versus long Treasuries is something of an apple to oranges comparison, since the Barclays US Aggregate Bond Index not only includes includes Treasuries, but also government - related and corporate securities, MBS (agency fixed - rate and hybrid ARM pass - throughs), ABS and CMBS (agency and non-agency).

If the ratio is at 100 %, it indicates that the yield on a AAA - rated municipal bond is the same as a Treasury security of the same maturity.

As we pointed out in our post last week, a withdrawal rate strategy should respond to market factors like equity valuations and bond yields as well as personal factors like age, retirement horizon, and expectations about pension and Social Security benefits.

RIAs are eligible to participate in the Program if they represent to Fidelity Investments that they meet the following criteria: (1) RIA is an investment adviser registered and in good standing with the U.S. Securities and Exchange Commission and / or any applicable state securities regulatory authorities or is exempt from such registration; (2) RIA's representatives who provide services to referred clients are appropriately registered / licensed as «Investment Advisers Representatives» in required jurisdictions; (3) RIA charges fee - based, asset - based, or flat - rate investment advisory service fees (which may include hourly fees); (4) RIA will maintain a minimum of $ 350,000,000 in total regulatory assets under management, as reported in response to Item 5 in Part 1A of the RIA's Form ADV, throughout the duration of RIA's participation in the Program; (5) RIA and all associated persons of the RIA who manage client assets or who supervise such associated persons shall at all times be covered through both Errors and Omissions Liability Insurance and Fidelity Bond Coverage; and (6) RIA maintains a minimum of two principals or officers as well as a minimum of five Securities and Exchange Commission and / or any applicable state securities regulatory authorities or is exempt from such registration; (2) RIA's representatives who provide services to referred clients are appropriately registered / licensed as «Investment Advisers Representatives» in required jurisdictions; (3) RIA charges fee - based, asset - based, or flat - rate investment advisory service fees (which may include hourly fees); (4) RIA will maintain a minimum of $ 350,000,000 in total regulatory assets under management, as reported in response to Item 5 in Part 1A of the RIA's Form ADV, throughout the duration of RIA's participation in the Program; (5) RIA and all associated persons of the RIA who manage client assets or who supervise such associated persons shall at all times be covered through both Errors and Omissions Liability Insurance and Fidelity Bond Coverage; and (6) RIA maintains a minimum of two principals or officers as well as a minimum of five securities regulatory authorities or is exempt from such registration; (2) RIA's representatives who provide services to referred clients are appropriately registered / licensed as «Investment Advisers Representatives» in required jurisdictions; (3) RIA charges fee - based, asset - based, or flat - rate investment advisory service fees (which may include hourly fees); (4) RIA will maintain a minimum of $ 350,000,000 in total regulatory assets under management, as reported in response to Item 5 in Part 1A of the RIA's Form ADV, throughout the duration of RIA's participation in the Program; (5) RIA and all associated persons of the RIA who manage client assets or who supervise such associated persons shall at all times be covered through both Errors and Omissions Liability Insurance and Fidelity Bond Coverage; and (6) RIA maintains a minimum of two principals or officers as well as a minimum of five employees.

For example, in a world where short - term interest rates are zero, Wall Street acts as if a 2 % dividend yield on equities, or a 5 % junk bond yield is enough to make these securities appropriate even for investors with short horizons, not factoring in any compensation for risk or likely capital losses.