Sentences with phrase «rather than bond funds»

I mean of course individual bonds rather than bond funds since we are talking about a specific loan with specific interest rate and the promise to return the debt at maturity.
There are many situations where it does indeed make sense to use a high - interest savings account rather than a bond fund.
Seven ETFs and a ladder of fixed income investments (rather than a bond fund at this stage in the cycle).

Not exact matches

Certainly, it offers an attractive level for longer - term investors such as pension and insurance funds to lock in a relatively decent yield, and will tempt some portfolio managers to buy bonds rather than equities.
Rather than paying these pensions out of current income as it is earned or plowing their earnings back into investment in their own business, companies take their income and «financialize» it by buying stocks and bonds for their pension funds.
Yet we also see very strong inflows into junk bond funds, based on the belief that these high yields represent value rather than information about default probabilities.
Apple has already done a $ 17 billion bond offering (the company decided to borrow the money rather than pay the hefty U.S. taxes required to bring some offshore cash back home) in order to raise funds for a planned $ 60 billion share repurchase over three years.
1MDB has a $ 3 billion bond outstanding that does not mature until 2023 but the fund has a strong incentive to pay this back sooner rather than later — even if it means paying bondholders a premium.
«In a minority of cases, activist hedge funds may bring some lasting value for shareholders but largely at the expense of workers and bond holders; thus the impact of activist hedge funds appears to take the form of wealth transfer rather than wealth creation.»
ETNs are designed to deliver the total return on a broad index or individual commodity, but rather than being structured as pools of securities that the fund itself owns, they are instead unsecured bonds (notes) issued by a firm that agrees to deliver the return of the index it tracks.
Using the State Pension fund to legitimately lend the State money as an investment rather than the State issuing bonds for smoothing spending is an intelligent idea, but with the same terms and conditions as any bond issuance would have.
For example, Leggett said, if the town knows it will have to replace a roof in 10 years, it can't put aside $ 20,000 per year in a capital reserve fund to pay for the project, and the town is forced to bond rather than pay - as - you - go.
Despite the spending reductions, Bellone said he will fund more than $ 300 million in projects for the Southwest Sewer district using the sewer district stabilization fund rather than bonds.
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.
It's also designed to mirror the characteristics of the broad - market funds mentioned above, but rather than holding bonds directly it gets exposure through a total return swap.
One simple way to prepare for changing bond market is to invest in bond funds rather than individual bonds.
For diversification purposes it seems like I'd want to do this via a bond fund rather than buying individual bonds.
So why would you use a barbell rather than simply holding a broad - based bond index fund?
If you're looking for an index mutual fund rather than an ETF, the e-Series version of TD's Canadian Bond Index Fund should top your lfund rather than an ETF, the e-Series version of TD's Canadian Bond Index Fund should top your lFund should top your list.
Funds (of bonds, rather than funds that contain property or shares or other investments) are often high yield, low volatiFunds (of bonds, rather than funds that contain property or shares or other investments) are often high yield, low volatifunds that contain property or shares or other investments) are often high yield, low volatility.
Buy a fund of bonds, there are plenty and are registered on your stockbroker account as «funds» rather than shares.
Rather than picking individual stocks, a mutual fund is a readymade, diverse portfolio of different stocks and bonds managed by a financial expert.
The larger problem caused by its name is Morningstar's decision to assign the fund to the «world bond» group rather than the «short - term bond» group.
Rather than purchasing individual bonds, investors purchase shares in the bond fund.
Andrew Hallam presents a nice argument (as do you) for viewing stocks as reserve funds to take advantage of a downturn rather than just something you expect to return the standard bond return from.
Usually it's a combination of the two ** We will likely see a bucking of the trend of increased delinquencies in subprime auto ABS pools; tightening of underwriting standards will help auto lenders keep their funding costs lower * If there's a large macro event or shock, such as unemployment rates rising, there will actually be a much bigger impact to prime auto bonds rather than subprime.
Rather than pursue cross-over corporates or high - yield or even long - term investment grade corporates, we have stayed near the middle of the curve with funds like: (1) SPDR Nuveen Muni (TFI), (2) Vanguard Total Bond (BND), (3) iShares 7 - 10 Year Treasury (IEF) and (4) iShares 3 - 7 Year Treasury (IEI).
I remember reading long ago that if you want to add bonds to your portfolio, to buy them directly rather than in a bond mutual fund because a bond fund holds more risk, especially when it comes to government bonds.
I prefer using a bond index fund rather than individual bonds as the expenses are much lower in my case.
The advantage of an investment account is essentially the advantage of investing your money in markets — securities, bonds, exchange traded funds, etc. — rather than simply putting your assets into a savings account.
It is questionable whether the vast majority of individual investors should own directly any common stocks or individual bonds rather than investment funds.
In your case where you have mutual funds already, it is probably a good idea to keep investing in mutual funds with a theme which you understand the industry's role in the economy today rather than investing in some special bonds which you can not relate to.
Rather than fund their growth via retained earnings as most corporations do, they paid out virtually all of their cash flow from operations as distributions and then routinely went to the stock and bond markets when they needed growth capital.
Invest in bond funds rather than individual bonds — «I believe the most effective way for investors to actively manage their portfolios is to use mutual and exchange traded funds.
And then he pushed me to be 100 % invested in the market - related mutual funds during this huge downturn (rather than, say, directing at least some of the funds to a safe haven like money market fund or bond fund or whatever).
Most new investors would be wise to invest in low - cost index mutual funds and ETFs rather than picking specific stocks or bonds.
Since index funds simply buy the stocks or bonds that make up indexes like the Standard & Poor's 500 or Barclays U.S. Aggregate bond index rather than spend millions on costly research and manpower to identify which securities might perform best, they're able to pass those savings along to shareholders in the form of lower annual fees, which translates to higher returns and more wealth over the long term.
I happen to be a strong believer in managing risk through a high quality bond fund or CDs rather than using options.
A host of others simply picked the most conservative choices (bond or money market funds) rather than making any attempt to learn about the funds with more potential for growth.
There is a second issue — though many companies earn far more than they did in the past, many waste money by buying back stock, rather than retaining the funds, retiring bonds, or handing out dividends.
So why doesn't Social Security invest the trust funds in stocks rather than Treasury bonds?
Rather than choosing a mix of stock and bond mutual funds, you select a single fund designed to have the right combination of assets based on when you plan to retire — your «target date.»
Given the limited number of bond terms, and therefore difficulty setting up a bond ladder with such bonds, many use a TIPS fund rather than buy individual securities, but diversification of TIPS is not required either if you do not need staggered maturities (a bond ladder).
For most investors, use a well - diversified bond fund rather than purchase individual bonds.
If government bonds carried risks similar to stocks, then there would likely be more reasons to hold bonds as funds rather than individually.
Rather than picking stocks and bonds on your own to create a diversified portfolio, you select a single fund designed to have the right combination of assets based on when you plan to retire — your «target date.»
are expressing perplexity over the market for bonds, which is institutional and driven by accounting and regulatory concerns (ALM, pension funding regs, risk charges on surplus for holding equities, marking investment grade bonds at amortized cost rather than to market, etc.).
With corporate bonds, you can moderate some of the higher default risks by investing in corporate bond funds, rather than trying to select individual and potentially more risky individual corporate bonds.
Bond funds typically pay monthly interest, which makes them attractive to investors who need income more frequently, rather than semi-annually.
An ETF of ETFs is an exchange - traded fund (ETF) that tracks other ETFs rather than an underlying stock, bond, or index.
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