Sentences with phrase «risk of permanent loss»

These are companies that are priced at significant discounts to their underlying business value and are low risk (meaning low risk of permanent loss of capital, not volatility).

If the manager is exposing the investor to more downside risk in bear markets then they are increasing the behavioral risk of permanent loss for the investor.

There is high risk of permanent loss of capital when we buy into a company that is over valued.

As noted above, standard deviation by itself is only the first step in estimating the true risk of permanent loss.

Given that the company is trading below what we believe to be a conservative estimate of liquidation value and not burning any cash, we believe there is very little risk of a permanent loss of capital at current prices.

EXAMPLE CHECKLIST ITEMS - Is there risk of permanent loss of capital?

This means that a 60/40 portfolio is likely to expose the investor to significantly more risk of permanent loss late in the cycle (years such as 2000, 2008, etc) than it will early in the cycle.

This conclusion remains true considering the other risks associated with stocks, which I defined in prior articles as not routine volatility, but the relatively moderate risks of permanent losses over a long - term investing time frame.

At Saber Capital Management, we have a simple objective: to compound our capital at high rates of return over long periods of time with minimal risk of permanent loss of principal.

Seahawk Drilling (NASDAQ: HAWK) is a compelling investment opportunity with very little risk of a permanent loss of capital.

While there might be higher returns associated with higher levels of debt, the increased risk of a permanent loss of capital when dealing with companies that carry excessive debt may exceed the benefit of those returns.

But that doesn't mean you need to make risky bets to capture solid returns, either, and buying solid companies at reasonable prices can help create a margin of safety and improve your returns, while also decreasing your risk of permanent losses.

«My job, as manager and fellow owner, is to allocate the vehicle's capital to produce the highest absolute return on invested capital while minimizing the risk of permanent loss of capital» Michael Burry

Rather simple, when you ponder it a while» Frank Martin «I think volatility is so widely used as a risk - metric simply because it is easy to measure, not because it is a good gauge of risk of permanent loss of capital.

«Looking ahead, the economy is expected to grow modestly, but with current policy settings the pace will be insufficient to absorb significant slack in the economy, raising the risk of a permanent loss of productive capacity.»

Too bad, because I agree that risk is not volatility, it is the risk of permanent loss of capital.

To help us determine the risk of a permanent loss of capital, we ask ourselves a few straightforward questions when considering any investment opportunity:

If you're not prepared to potentially hold the instrument for most or all of its maturity then your risk of permanent loss increases substantially.

But they can be volatile in bear markets (like equities) and carry the risk of permanent loss of capital (like equities).

And within their savings portfolio they are trying to protect their assets against the risk of permanent loss and the risk of inflation.

It categorizes a portfolio in terms of the risk of permanent loss, which is more likely the sooner spending needs to occur.

On the other hand, this portfolio is also designed to minimize exposure to large drawdowns and the risk of permanent loss.

Unlike static procyclical indexing strategies (which just go up and down with the market and always rebalance back to the same risk exposure) our countercyclical approach rebalances in such a way that we will actually reduce exposure to certain asset classes when the risk of permanent loss increases late in the market cycle.

After a period of about 2 to 3 years, the risk of permanent losses from intermediate duration bonds is low.

The portfolio overweights protection against the risk of permanent loss relative to the risk of purchasing power.

In general these strategies are overweight stocks which means that their exposure to the risk of permanent loss is assumed to be static.

Bond risks — Because the whole point of bucket investing (and ballast in general) is to minimize the risk of permanent losses, we need to also consider the risks associated with bonds.

In doing so, we focus on growing your savings and protecting it from inflation while also protecting it from the risk of permanent loss.

They then structure their actions and investments in order to reduce the risk of permanent loss of capital in the event that undesirable eventsand developments actually occur.

River Road's mantra, «keep mistakes small,» informs a balanced approach to diversification and a structured sell discipline that seeks to reduce portfolio volatility and the risk of permanent loss of capital

I view risk as the risk of permanent loss of capital, not the volatility of a stock.

The way I think about risk, though isn't whether a company is volatile, but whether there is a risk of permanent loss of capital.

The financial markets are where you allocate a portion of your savings to protect against purchasing power loss and the risk of permanent loss.»

The biggest risks in our savings portfolios are the loss of purchasing power due to inflation and the risk of permanent loss due to price declines.

At present, our mindful conclusion is that cash has more advantages than bonds as ballast in a portfolio of mixed investments, because cash can be used for short term expenditures and investment opportunities with no risk of permanent loss (other than slow and persistent inflation erosion).

If one can outperform inflation, reduce the risk of permanent loss and do so with moderate risk adjusted returns then they will have a high probability of achieving their financial goals.

In a more pragmatic way this risk of permanent loss may be seen in the price of an asset.

Of course, we also know stocks are volatile and there is some risk of permanent loss, but we accept this as the price we pay for higher returns.

Benefits will be provided to the Plan Participant, up to the Maximum Benefit Amount shown in the Plan Participant's Schedule of Benefits: (a) against all risks of permanent loss, theft or damage to the Plan Participant's Baggage and Personal Effects; (b) subject to all General Exclusions and the Additional Limitations and Exclusions Specific to Baggage and Personal Effects in the Plan Participant's Plan; and © occurring while coverage is in effect.

Baggage and Personal Effects — This protects goods used by you during your trip against all risks of permanent loss, theft, or damage.

Benefits will be provided to You, up to the Maximum Benefit Amount shown in the Confirmation of Benefits: a) against all risks of permanent loss, theft or damage to Your Baggage and Personal Effects; b) subject to all General Exclusions and the Additional Limitations and Exclusions Specific to Baggage and Personal Effects in the Policy; and c) occurring while coverage is in effect.