Do you have
a required hurdle rate, and is it appropriate?
Do you have preliminary filters in place —
required hurdle rate, risk profile, complexity, un-knowability, etc. — to quickly weed out ideas and not waste precious research time?
Not exact matches
Stephen Poloz used a speech on September 20 in Quebec City to educate a group of economists about the «
hurdle rate» — the minimum return on an investment companies
require before they agree to part with their money.
The inflation
rate might therefore be considered the «
hurdle rate» for an investment strategy — the minimum return
required to keep a portfolio's purchasing power intact.
However, if you are planning on taking out loans to cover the lion's share of your educational costs, a questionable credit
rating may
require you to jump through some additional
hurdles to gain access to the funding that you need.
Second, a high natural
rate of interest implies a large
required rate of return and a more stringent
hurdle for potential investments to surmount.
It makes me think that perhaps the IRR MP projected from holding on to their Gleacher shares when the company moves into liquidation didn't quite make the
hurdle rate the company
requires.
The logic is the same for long - only funds — if market neutral funds were
required to meet a
hurdle above the cash
rate, then long - only funds should be
required to meet a
hurdle above the market
rate.
Like the Citi and Fidelity cards, the PenFed Power Cash Rewards card
requires card members to cross some
hurdles to obtain the full 2 percent rewards
rate.
Yun said that overly strict lending standards are holding back more robust sales: 2010 - vintage mortgage originations have a lower serious delinquency
rate than in 2002, when serious delinquencies were barely above 1 percent, and 2011 is shaping up to be another stellar year in delinquency
rates, but lenders are still
requiring extraordinarily high credit scores and putting up other
hurdles to obtaining financing.