Sentences with phrase «rates revert to the mean»
When those interest rates revert to the mean, and they will, the waves of economic turmoil will lap our shores.
http://www.canadianlawyermag.com/ Not exact matches
While a 10 p / e may be attractive when interest rates are 7 % and stocks mean revert to 15 times earnings, maybe a 20 P / E ratio is cheap when interest rates are 2.5 % and stocks mean revert to 25 times earnings.
Back in 1998, when I was developing my first generation old VIX / S&P 500 models, I came up with a statistic that said that the VIX mean - reverted to a level of 16, and it would tend to return at the rate of 20 % / month, while being jolted by random disturbances pushing it to and away from the mean.
Profit margins may mean - revert eventually, but it might be a while for that to happen, given the global pressures that are keeping wage rates low.
This effectively means that you can earn $ 75 in bonus cash back each quarter, after which the rate in these categories will revert back to the standard 1 % rate.
Some are taking current revenue and then assigning a mean reverted profit margin to come up with what earnings should be, then assigning some mid point multiple that doesn't take historically low interest rates into consideration.
Making late payments could allow creditors to opt of out of the debt management plan, which could mean you'll revert to the much higher interest rates and fees that you were trying to escape in the first place.
While a 10 p / e may be attractive when interest rates are 7 % and stocks mean revert to 15 times earnings, maybe a 20 P / E ratio is cheap when interest rates are 2.5 % and stocks mean revert to 25 times earnings.
None of that is going to necessarily mean revert other than interest rates and wages will go up when the economy strengthens, which goes against your total market implosion scenario (so basically a repeat of 2008 except with a healthy banking system this time).
However, we do know that over the long - term, valuation levels and interest rates have tended to revert to the mean and that we are far above that mean with respect to market valuations.
can't save if we have no home, which means the City of Austin will revert to a 81 % save rate
This effectively means that you can earn $ 75 in bonus cash back each quarter, after which the rate in these categories will revert back to the standard 1 % rate.