I do not want higher
risk for higher returns.
Our closest relatives almost always prefer a sure bet, according to a recent study, choosing value in hand over
risk for higher returns.
However, I've already found my «enough» money to live off, so I have no interest in taking outsized
risk for higher returns.
Many people keep 6 months worth of expenses saved up in savings accounts / CD's, and beyond that they'll expose a portion of their money to market
risk for a higher return.
But since this isn't money that you need to live on immediately, you may be able to take more of
a risk for a higher return.
By sophisticated I mean that the investor fully understands the underlying risks and accepts that you must necessarily take on higher
risks for higher returns.
Returns on endowment policies are conservative but guaranteed and these are meant for risk - averse individuals — those who prefer a steady though moderate return rather than take high
risks for high returns.
Not exact matches
They're not demanding the
higher returns to compensate them
for those
risks.
When we're investing in private funds, we're looking
for something that has a
high enough
return to pay us
for the
higher risk and lack of liquidity.
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.
For instance, for venture capital, where there is a significant risk that the technology will be worthless and the company may never develop, the expected return needs to be high
For instance,
for venture capital, where there is a significant risk that the technology will be worthless and the company may never develop, the expected return needs to be high
for venture capital, where there is a significant
risk that the technology will be worthless and the company may never develop, the expected
return needs to be
higher.
«The challenging thing
for investors is we're in this environment of muted
returns, but it's accompanied by the
risk of
higher volatility,» Cooper says.
Actual results, including with respect to our targets and prospects, could differ materially due to a number of factors, including the
risk that we may not obtain sufficient orders to achieve our targeted revenues; price competition in key markets; the
risk that we or our channel partners are not able to develop and expand customer bases and accurately anticipate demand from end customers, which can result in increased inventory and reduced orders as we experience wide fluctuations in supply and demand; the
risk that our commercial Lighting Products results will continue to suffer if new issues arise regarding issues related to product quality
for this business; the
risk that we may experience production difficulties that preclude us from shipping sufficient quantities to meet customer orders or that result in
higher production costs and lower margins; our ability to lower costs; the
risk that our results will suffer if we are unable to balance fluctuations in customer demand and capacity, including bringing on additional capacity on a timely basis to meet customer demand; the
risk that longer manufacturing lead times may cause customers to fulfill their orders with a competitor's products instead; the
risk that the economic and political uncertainty caused by the proposed tariffs by the United States on Chinese goods, and any corresponding Chinese tariffs in response, may negatively impact demand
for our products; product mix;
risks associated with the ramp - up of production of our new products, and our entry into new business channels different from those in which we have historically operated; the
risk that customers do not maintain their favorable perception of our brand and products, resulting in lower demand
for our products; the
risk that our products fail to perform or fail to meet customer requirements or expectations, resulting in significant additional costs, including costs associated with warranty
returns or the potential recall of our products; ongoing uncertainty in global economic conditions, infrastructure development or customer demand that could negatively affect product demand, collectability of receivables and other related matters as consumers and businesses may defer purchases or payments, or default on payments;
risks resulting from the concentration of our business among few customers, including the
risk that customers may reduce or cancel orders or fail to honor purchase commitments; the
risk that we are not able to enter into acceptable contractual arrangements with the significant customers of the acquired Infineon RF Power business or otherwise not fully realize anticipated benefits of the transaction; the
risk that retail customers may alter promotional pricing, increase promotion of a competitor's products over our products or reduce their inventory levels, all of which could negatively affect product demand; the
risk that our investments may experience periods of significant stock price volatility causing us to recognize fair value losses on our investment; the
risk posed by managing an increasingly complex supply chain that has the ability to supply a sufficient quantity of raw materials, subsystems and finished products with the required specifications and quality; the
risk we may be required to record a significant charge to earnings if our goodwill or amortizable assets become impaired;
risks relating to confidential information theft or misuse, including through cyber-attacks or cyber intrusion; our ability to complete development and commercialization of products under development, such as our pipeline of Wolfspeed products, improved LED chips, LED components, and LED lighting products
risks related to our multi-year warranty periods
for LED lighting products;
risks associated with acquisitions, divestitures, joint ventures or investments generally; the rapid development of new technology and competing products that may impair demand or render our products obsolete; the potential lack of customer acceptance
for our products;
risks associated with ongoing litigation; and other factors discussed in our filings with the Securities and Exchange Commission (SEC), including our report on Form 10 - K
for the fiscal year ended June 25, 2017, and subsequent reports filed with the SEC.
Record - low interest rates also have caused some big institutional investors to search
for returns in the
high -
risk,
high - reward world of venture capital.
«The idea is that as institutional investors seek out increasingly
higher levels of
risk /
return, that Bitcoin may represent the most risky / potentially
highest return available, and hence could be evolving quickly into a primary barometer / leading indicator
for broader financial markets and
risk appetite.»
«
For example, a bond fund may borrow and take on leverage in order to show a
higher return but has significantly
higher risk than a retiree may want in an income portfolio.»
With interest rates at record lows, family and friends may be willing to take a
higher risk for a
higher short term
return.
As a result, it is now clear that the U.S. is in the latter stages of the multi-year credit cycle, a period when rising corporate leverage negatively affects
returns to corporate debt as investors demand
higher risk premiums to compensate
for the greater volatility created by increased leverage.
Ideally,
for any given time period, you want your investment to appear in the upper - left quadrant, as this indicates you've received
higher returns for a relatively low amount of
risk.
If I want low
risk I accept lower
returns, if I'm ok with
higher risk I can go
for higher returns.
It demonstrates that a global equity framework can provide diversification and
higher long - term
risk - adjusted
returns for investors from
high growth countries who often hold home - biased equity portfolios that can have
high concentration
risk.
Higher proportion of funds focused in higher risk assets, such as shares for the potential of higher r
Higher proportion of funds focused in
higher risk assets, such as shares for the potential of higher r
higher risk assets, such as shares
for the potential of
higher r
higher returns
So, despite our rational desire to get a
return for the
risks we take, we tend to value something we own
higher than the price we'd normally be prepared to pay
for it.
these competitors may have
higher risk tolerances, different
risk assessments or lower
return thresholds, which could allow them to consider a wider range of investments and to bid more aggressively than us
for investments.
But
for many investors (including younger investors with relatively long time horizons), sacrificing some liquidity in exchange
for mitigated
risk and
higher potential
returns is a trade - off well worth making.
For example, if you're comfortable taking on more risk in exchange for potentially higher returns, your portfolio might be weighted with more stocks than bon
For example, if you're comfortable taking on more
risk in exchange
for potentially higher returns, your portfolio might be weighted with more stocks than bon
for potentially
higher returns, your portfolio might be weighted with more stocks than bonds.
I think
high costs [eroding already lower
returns] are as much of a
risk for investors as the [economic situation] in Europe or China.
If you're searching
for investments that offer both
higher potential
returns and
higher risk, you may want to consider adding some foreign stocks to your portfolio.
First, the riskiness associated with capital investment might have gone up and so
higher rates of
return could be simply compensating
for higher risk rather than implying attractive investments.
Generally, investments offering potential
for higher returns are accompanied by a
higher degree of
risk.
In Chile's case they said nothing about the way this transferred
risk from the private to the public sector, even though they defended
high rates of
return as a reward
for the private sector ostensibly taking
risks.
The yearly
return figures illustrate the
higher risk of foreign and smaller firm stocks — small - cap stocks had more yearly losses than did large - cap stocks, and the losses
for both international stocks and small - company stocks can be larger than
for large - cap stocks.
Jim O'Shaughnessy sees
high risk for negative real
returns in long bonds, calling this «a generational selling opportunity» #TBP2013 — William Sweet, CFP ® @billsweet, president at Stevens & Sweet Financial
For example, a risk index of 1.30 for a fund indicates that it is 30 % more volatile than the typical fund in its category and should therefore have a higher return than avera
For example, a
risk index of 1.30
for a fund indicates that it is 30 % more volatile than the typical fund in its category and should therefore have a higher return than avera
for a fund indicates that it is 30 % more volatile than the typical fund in its category and should therefore have a
higher return than average.
The hope
for investors is that
for this fee, Fundrise will be able to cherry pick the best investments that provide the
highest risk - adjusted
returns since it's often hard to tell which one is best since they all sound pretty good.
Indeed, once our estimated market
return /
risk profile is strictly negative (as it is at present), the negative implications
for the S&P 500 aren't affected by the position of the market relative to that average, except that the market tends to experience
higher volatility once the market breaks that average.
NEXUS» goal is
for its members to achieve
higher returns with less
risk than typical angel investments by utilizing a model combining the business acumen of NEXUS members with Florida's community resources — including the vast university system and regional economic development programs.
We see the overall environment as positive
for risk assets, but expect more muted
returns and
higher volatility than in 2017.
A comeback of inflation and Fed normalization may create a challenge
for investors looking
for high risk - adjusted
returns.»
If you value the contrarian viewpoint and want access to a
high - performing portfolio targeting the best
risk - adjusted
returns, then Street Freak is a perfect fit
for you.
As you move up the
risk ladder you take on greater price volatility in exchange
for potentially
higher long - term
returns.
For most people of moderate means, this is the lowest
risk,
highest return approach.
Stocks are probably the most popular asset; they are more volatile and have
higher risk, but they're easy to understand and have the
highest potential
for return.
Unlike its successful European counterparts, demand
for higher risk - adjusted
returns, the existence of retrocession fees and stronger desire to retain control, continue to act as headwinds to grow fee - based assets, at a rate that outpaces private banks» robust AUM growth and regional wealth creation.
Leverage offers the potential
for higher returns, but also involves increased
risk.
The low interest rate environment may also have encouraged a shift in investments towards hedge funds as, in the past, hedge funds have achieved
higher average
returns than traditionally managed investments, albeit in exchange
for greater
risk.
The main issue
for good, established companies here is not the
risk to the long - term stream of cash flows, but to what extent the uncertainty about the coming year or two of earnings will frighten investors to sell at depressed prices (thereby pricing stocks to deliver even
higher long - term
returns).
, but I think it's a mistake
for risk averse or diversified investors to completely give up on
high quality bonds because they're worried about poor
returns from low yields.
Based on this aspect, ICOs can not be considered safe investments, but rather
high -
risks with huge potential
for high returns.
For a number of years, concerns had been expressed about the underpricing of risk in a range of financial instruments and the associated search for yield as investors sought higher returns in non-standard financial products as the yield on more standard products such as government bonds was deemed to be inadequa
For a number of years, concerns had been expressed about the underpricing of
risk in a range of financial instruments and the associated search
for yield as investors sought higher returns in non-standard financial products as the yield on more standard products such as government bonds was deemed to be inadequa
for yield as investors sought
higher returns in non-standard financial products as the yield on more standard products such as government bonds was deemed to be inadequate.