Sentences with phrase «reduce interest rate risk»

Led a project that transformed an Excel based model for the Aviation business into an industry standard risk management system that analyzed $ 50 billion worth of assets and liabilities to reduce interest rate risk

The asset swap spread (also called the gross spread) is the aggregate price that bondholders would receive by exchanging fixed rate bonds for floating rate bonds using the swaps market, mainly used to reduce interest rate risk.

The investment objective of the Scheme is to generate returns through investments in debt and money market instruments with a view to reduce the interest rate risk.

So when interest rates are trending up, many investors shift their fixed income holdings to short - term bonds in order to reduce interest rate risk.

Short term high yield bond funds help investors reduce their interest rate risk, but they have shortcomings.

This may help reduce their interest rate risk, but it doesn't eliminate it.

Low duration and loans» floating rate structure may help reduce interest rate risk and lower portfolio volatility.

Short - term bond funds reduce interest rate risk, but interest rate hedged bond funds take that risk to near zero.

Generally, when investors believe interest rates are going to increase, they typically shift to a lower duration strategy to potentially reduce the interest rate risk in their portfolios.

For those clients with liability objectives, Ryan Labs manages fixed income portfolios that seek to reduce interest rate risk, tracking error, and surplus volatility versus a client's liability index or long duration benchmark relative to their liabilities.

We also use these products at Hylland Capital to reduce interest rate risk for investors with shorter time frames for their retirement accounts or other savings goals.

Going into 2014, investors held the view that interest rates would rise and, thus, they looked to reduce interest rate risk with the more flexible non-traditional bond funds.

These funds hold the securities till maturity to reduce the interest rate risk even further.

One option for investors seeking to reduce their interest rate risk and increase yield, while still maintaining the overall risk profile similar to a traditional Canadian bond portfolio is the iShares Short Term Strategic Fixed Income ETF (XSI), which seeks to deliver a higher yield with reduced interest rate sensitivity.

Considering the paltry yields in most corners of the fixed - income markets, avoiding commissions for investors looking to reduce interest rate risk by going into funds like (NYSEArca: FLOT), (NYSEArca: ISTB) or (NYSEArca: SHY) will definitely help a lot.

BMO Laddered Preferred Share Index ETF (ZPR): Laddered fund of strictly rate - reset preferreds, 20 % of which will reset their payout in any one year, which reduces the interest rate risk.

This gives us some flexibility in reinvesting based on current interest rates and being able to extend maturity, while also reducing your interest rate risk for money you may need in the shorter term.

I took a similar approach with my ~ 6 + year maturity MUNI fund when I paid off our fixed 3.5 % mortgage (reducing interest rate risk on longer maturity bond holdings).

We've got two properties, so we'll likely renegotiate one at a fixed rate and the other at the variable rate to offer some reduced interest rate risk, but even if you only have one property, its doable, and in my eyes, one of the better options over either going «all in'to a fixed or variable rate.

But beyond that, I have pulled in my horns, and have reduced interest rate risk.

Not exact matches

Important factors that could cause actual results to differ materially from those reflected in such forward - looking statements and that should be considered in evaluating our outlook include, but are not limited to, the following: 1) our ability to continue to grow our business and execute our growth strategy, including the timing, execution, and profitability of new and maturing programs; 2) our ability to perform our obligations under our new and maturing commercial, business aircraft, and military development programs, and the related recurring production; 3) our ability to accurately estimate and manage performance, cost, and revenue under our contracts, including our ability to achieve certain cost reductions with respect to the B787 program; 4) margin pressures and the potential for additional forward losses on new and maturing programs; 5) our ability to accommodate, and the cost of accommodating, announced increases in the build rates of certain aircraft; 6) the effect on aircraft demand and build rates of changing customer preferences for business aircraft, including the effect of global economic conditions on the business aircraft market and expanding conflicts or political unrest in the Middle East or Asia; 7) customer cancellations or deferrals as a result of global economic uncertainty or otherwise; 8) the effect of economic conditions in the industries and markets in which we operate in the U.S. and globally and any changes therein, including fluctuations in foreign currency exchange rates; 9) the success and timely execution of key milestones such as the receipt of necessary regulatory approvals, including our ability to obtain in a timely fashion any required regulatory or other third party approvals for the consummation of our announced acquisition of Asco, and customer adherence to their announced schedules; 10) our ability to successfully negotiate, or re-negotiate, future pricing under our supply agreements with Boeing and our other customers; 11) our ability to enter into profitable supply arrangements with additional customers; 12) the ability of all parties to satisfy their performance requirements under existing supply contracts with our two major customers, Boeing and Airbus, and other customers, and the risk of nonpayment by such customers; 13) any adverse impact on Boeing's and Airbus» production of aircraft resulting from cancellations, deferrals, or reduced orders by their customers or from labor disputes, domestic or international hostilities, or acts of terrorism; 14) any adverse impact on the demand for air travel or our operations from the outbreak of diseases or epidemic or pandemic outbreaks; 15) our ability to avoid or recover from cyber-based or other security attacks, information technology failures, or other disruptions; 16) returns on pension plan assets and the impact of future discount rate changes on pension obligations; 17) our ability to borrow additional funds or refinance debt, including our ability to obtain the debt to finance the purchase price for our announced acquisition of Asco on favorable terms or at all; 18) competition from commercial aerospace original equipment manufacturers and other aerostructures suppliers; 19) the effect of governmental laws, such as U.S. export control laws and U.S. and foreign anti-bribery laws such as the Foreign Corrupt Practices Act and the United Kingdom Bribery Act, and environmental laws and agency regulations, both in the U.S. and abroad; 20) the effect of changes in tax law, such as the effect of The Tax Cuts and Jobs Act (the «TCJA») that was enacted on December 22, 2017, and changes to the interpretations of or guidance related thereto, and the Company's ability to accurately calculate and estimate the effect of such changes; 21) any reduction in our credit ratings; 22) our dependence on our suppliers, as well as the cost and availability of raw materials and purchased components; 23) our ability to recruit and retain a critical mass of highly - skilled employees and our relationships with the unions representing many of our employees; 24) spending by the U.S. and other governments on defense; 25) the possibility that our cash flows and our credit facility may not be adequate for our additional capital needs or for payment of interest on, and principal of, our indebtedness; 26) our exposure under our revolving credit facility to higher interest payments should interest rates increase substantially; 27) the effectiveness of any interest rate hedging programs; 28) the effectiveness of our internal control over financial reporting; 29) the outcome or impact of ongoing or future litigation, claims, and regulatory actions; 30) exposure to potential product liability and warranty claims; 31) our ability to effectively assess, manage and integrate acquisitions that we pursue, including our ability to successfully integrate the Asco business and generate synergies and other cost savings; 32) our ability to consummate our announced acquisition of Asco in a timely matter while avoiding any unexpected costs, charges, expenses, adverse changes to business relationships and other business disruptions for ourselves and Asco as a result of the acquisition; 33) our ability to continue selling certain receivables through our supplier financing program; 34) the risks of doing business internationally, including fluctuations in foreign current exchange rates, impositions of tariffs or embargoes, compliance with foreign laws, and domestic and foreign government policies; and 35) our ability to complete the proposed accelerated stock repurchase plan, among other things.

the Company's investment portfolio is subject to credit risk and interest rate risk, and may suffer reduced or low returns or material realized or unrealized losses;

Government bonds could help reduce default risk, but because of the length of maturity required to earn any meaningful yield, they do little to reduce duration risk - i.e. the overall sensitivity of a portfolio to interest rate rises.

«The public funds, at least in Pennsylvania, are structured to enable the bank to make a loan that they might not be able to make without the public debt behind them by enhancing the loan - to - value, reducing the risk to [the bank], and then passing on some benefits [to the borrower] in the form of lower interest rates, which help cash - flow issues.»

Counterintuitively, the central bank says lower interest rates are necessary to reduce the risk of a housing bust.

To the extent that the factors affecting capital flows act to raise asset prices, lower interest rates and reduce risk premiums, it is harder for the markets to assess how much of the currently very favorable conditions are likely to reflect fundamentals and prove more durable.

Hedging interest rate risk with interest rate locks or forward interest rate swap agreements may help your business maintain budget consistency or reduce interest expense with your 2018 projects.

But as long as the PBoC can continue to withstand pressure to lower interest rates — and it seems that the traditional poor relations between the PBoC and the CBRC have gotten worse in recent months, perhaps in part because the PBoC seems more determined to reduce financial risk and more willing to accept lower growth as the cost — China will move towards a system that uses capital much more efficiently and productively, and much of the tremendous waste that now occurs will gradually disappear.

So anytime you can reduce your risk, you have the potential for a lower interest rate.

Each account is diversified across a variety of sectors and maturities to help ensure it is not concentrated in any one area, can better handle changes in interest rates, and can potentially help reduce overall risk to principal over the long - term.

The investment manager generally will increase the exposure of the Fund to interest rate risk in environments where the return expected to be derived from that risk is high, and generally will reduce exposure to interest rate risk when the return expected to be derived from that risk is unfavorable.

Keep in mind the goals of diversifying among market segments, which is to reduce the major risks of the major asset classes (stock market risk for stocks and interest rate risk for bonds).

First, any surprises in the recently started cycle of interest rate hikes in the U.S. could quickly increase or reduce risk aversion in world emerging markets.

It also provides more certainty about the path for short - term interest rates, reducing the risk premium built into longer - term rates.

Indeed, a combination of lower interest rates and more stringent macroprudential policy would likely work to reduce both financial stability risks and the risk of an undershoot of inflation at the same time.

In the most recent period, following the tightening of monetary policy in May, market interest rates declined for a time as participants assessed that the cumulative tightening over the previous six months might have been sufficient to reduce the risks on inflation.

Rising interest rate is the biggest risk for CubeSmart, which reduces the attractiveness of investing in REITs.

Although it makes sense to me to use bonds to try to reduce risks and volatility, what about the possible downward slide of bond values as interest rates rise over the next few years?

Given term premium suppression (via QE) reduced volatility and induced investors to buy risky assets to boost returns, a sustained rise in long - term interest rates would give investors more options to achieve yield targets, thus making risk assets appear less attractive and ultimately erode demands for yield and tighten financial conditions.

On top of that, you can reduce the risk associated with a variable interest rate if the lender caps how high that rate can go.

IGHG aims to reduce interest - rate risk by going long corporate bonds while at the same time shorting US Treasurys.

Businesses all over the world try to reduce risk that is connected with changes in currency values, stock prices, and interest rates.

To reduce this risk, lenders may offer loans with prepayment penalties at a lower interest rate — about.125 percent to.375 percent lower.

The risk to the lender is reduced so the interest rate offered is lower.

Because the loan is divided among a large number of investors (meaning the overall risk is reduced), P2P loans have lower interest rates than online loans and fewer eligibility requirements than bank loans.

It's not just about reducing interest - rate risk and duration, it's about sticking to what you are trying to achieve in your overall portfolio.

Because collateral reduces the lender's exposure to the risk of default, secured personal loans have lower interest rates than their unsecured counterparts.

For many borrowers with high interest rate student loans, refinancing the loans with a private lender is often a better alternative and a safer way to reduce interest rates without the risks of balance transfer cards.

This dramatically reduces the bank's risk, resulting in a very low interest rate.

When requesting a consolidation loan in order to reduce the amount of money you have to set aside every month for repaying debt and thus, driving away the risk of bankruptcy, you need to make sure you include only all the debt that has higher interest rates than the consolidation loan.