Sentences with phrase «risk than return»

If you are taking a second mortgage, it means you are running a risk of putting yourself into deeper debt, which could create more risk than return.

Not exact matches

Because a few extra years of work will boost your retirement income more than higher investment returns will, once you take the risk into account.

My increased exposure to risk has enabled me larger than average returns.

«We feel that this kind of investing at this part of the cycle gives us much better risk reward than let's say the broad beta,» or the broader market's return, she said.

Some investments offer a lot more risk than what you'd deserve to earn in «premium,» i.e. returns, for your trouble.

«We had to find a niche [that had] less competition but also generated a better return than the market with less risk over time,» he says.

While credit risk might seem like a bad idea with the U.S. economy still weak and the rest of the world looking equally uncertain, high - yield bonds do offer bigger returns than government and investment - grade bonds.

It all has to do with the near explosion of one of China's notorious wealth management product s — pools of allegedly low risk securities that return one average 2 % more than bank deposits.

Controlled by a «militarized iPad,» the system would be based with the field unit, available on a moment's notice to return to base for supplies or evacuate casualities — with far less cost or risk than a manned helicopter.

If you're talking about a new project with no significant investment already deployed, building a new mine if you expect today's prices to hold in the long term is a tough call — a 50 - year oil sands project is a lot of risk for less than a 10 % rate of return — but even there, you can see the impact of the lower Canadian dollar and the hedge provided by a royalty regime which lowers rates when prices are low.

Proper asset allocation exploits the differences in correlation of those assets, thereby reducing risk proportionately more than reducing return.

Along the same stream of the Sharpe ratio's risk / return measures in finance, and the «minimum viable product» in the tech world, the strategy is about being calculated and conscious in our efforts, with a flexible, rather than fixed process and goal.

While it's better to invest than keep money under a mattress, buying risk free securities, such as guaranteed income certificates or low - yielding government bonds, could actually be riskier than purchasing higher returning products, says Ted Rechtshaffen, president and CEO of Toronto's TriDelta Financial Partners.

«They'll essentially book their [higher - than - projected] returns and take a little bit of risk off the table.»

«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.»

LUSARDI: Question three has to do about risk diversification: «Do you think the following statement is true or false: buying a single company stock usually provides a safer return than a stock mutual fund.»

If you're talking about a new project with no significant investment already deployed, building a new mine if you expect today's prices to hold in the long term is a tough call — a 50 year oil sands project is a lot of risk for less than a 10 per cent rate of return — but even there, you can see the impact of the lower Canadian dollar and the hedge provided by a royalty regime which lowers rates when prices are low.

If you are paying each year the equivalent to more than an annual S&P 500 return or what you can earn risk - free investing in government Treasuries, how are you ever going to get ahead?

Anbang has been a leader among insurers when it comes to using so - called wealth management products, a class of lightly regulated investments that promise higher rates of return than conventional investments, but that also carry higher risks that may or may not be disclosed.

On an annual basis, the 50 smallest stocks had a risk - adjusted return that was almost 24 % higher than that of the 50 largest stocks.

What's more, the returns of such a portfolio outperformed those of the S&P 500, resulting in a risk - adjusted return that's 50 percent higher than that of the broader market.

«If you do have a lot more risk than your situation warrants, that could be a recipe for trouble if volatility 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.

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 bonds.

I always scratch my head when I hear advisors talk about the «4 % withdrawal rule» or any withdrawal rate that's greater than a risk free rate of return for that matter.

As a result, investors seeking additional returns from fixed - interest portfolios have been prepared to accept greater credit risk than in the past.

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.

At the same time, the company was creative in convincing lenders that the high returns from lending on the Lending Club platform more than offset the risks of the new marketplace lending model.

The quality portfolio may have higher risk - adjusted returns than the broad market, but it will also likely have lower overall returns due to the lower yield.

Scaling our positions in proportion to the market's expected return / risk profile, based on prevailing conditions (rather than trying to forecast market turns), is the essential practice.

The best thing right now is that my primary mortgage at 2.625 % costs less than my risk free CD return of 3.75 %!

the market capitalization spectrum (small - cap stocks tend to have greater risk - return profiles than larger, more established companies);

However, these higher yielding bonds are often the most risky, resulting in a lower risk - adjusted return than the broad market.

As with the other names mentioned a significant bounce in the health REIT space has occurred in the last month making many of the other health REITs less attractive than in days past, however, HCP still remains relatively weak for a variety of reasons and presents the best value (and risk) for potential returns.

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.

So how come that Millennials, though more risk - averse than their older counterparts, get the highest returns?

However, it would be nice to get a little more than 1 % return that I am getting now without taking on too much risk.

Logically, by taking more risk — in paying up to own «growth» stocks at higher multiples than the market average — one should expect to achieve higher returns.

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 average.

Rather, taking a closer look at how the return landscape is likely to shape up this year, and for years to come, shows that it's more important than ever to be selective as you take risk in search of returns.

Assuming a rate of return of 3 % — if you want a bigger return than that would you'd incur risk you don't want at that age.

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.

But in fact, risk matters as much if not more than return.

NEXUS's objective is to enable members to achieve higher returns with less risk than typical angel groups by combining Florida's community resources, including our vast university systems, with the business acumen of NEXUS members and partners.

We see the overall environment as positive for risk assets, but expect more muted returns and higher volatility than in 2017.

«We disdain the academic notion than high investment returns can only be accompanied by high amounts of risk.

However, their prospective returns are lower than the performance that many investors project, while their risk is higher than many investors appreciate.

The following chart, constructed from data in the paper, summarizes average equity return (ERP plus risk - free rate) estimates in local currencies for the 59 countries with more than five responses from finance / economic professors, analysts and company managers.

In short, investors should expect smaller excess returns for the risk of owning equities in the future than they enjoyed in the past.