Sentences with phrase «risky asset class»

He added: «I think one has to see that it's a that's a very risky asset class — if it's an asset class.

Small cap value is a risky asset class.

Stop doing that, and this is not really such a risky asset class anymore.

People often say that stocks are a risky asset class.

Commodities by themselves are a fairly risky asset class — they either do really well or they don't!

Market forces pushed the returns on the safe asset classes up much higher than normal while overvaluation pushed the return on the risky asset class much lower than normal.

The far more risky asset class was paying the far lower return.

The idea that stocks are a risky asset class is rooted in the ideas about how stock investing works that were developed in pre-Shiller days, when we did not know that long - term returns are predictable.

Commodities have a historically been viewed as a fairly risky asset class, not unlike equities.

Not this is not a risky asset class but it is not one that I would automatically avoid.

Rather, they should be anticipated, because periods of underperformance occur in every risky asset class and factor.

This is simply because at various times in market cycles either stocks or bonds could be the most risky asset class.

It's true that some see peer - to - peer lending as a risky asset class because you are relying on strangers to pay the loan back.

What we're seeing here — make no mistake about it — is not a rational, justified, quantifiable response to lower interest rates, but rather a historic compression of risk premiums across every risky asset class, particularly equities, leveraged loans, and junk bonds.

Rather, they should be anticipated, because periods of underperformance occur in every risky asset class and factor.

As a result, risky asset classes such as equities and commodities will be assigned much higher reserve requirements than bonds, which is why some insurance industry players are already dumping equities to hold a greater proportion of bonds.

Gold prices have seen a steady decline since a 2011 peak as the bull market stretched on and riskier asset classes found favor over safe havens.

Under those limits, often referred to as the Volcker Rule after former Federal Reserve Chairman Paul Volcker, banks also are not supposed to make investments in certain riskier asset classes.

Rising U.S. debt supply and the pace of the U.S. Federal Reserve's tightening, the possibility the European Central Bank's quantitative easing program is heading towards the finish line, and concerns about the credit quality of riskier asset classes restrained investors.

Instead, focus only on how much you want in equities overall compared to less risky asset classes and on collecting the equity premium.

This is how riskier asset classes, such as emerging markets, can improve returns and reduce portfolio risk even though an asset class may be considered volatile on its own.

Central bank intervention in global bond markets has «crowded out» many traditional fixed income investors, driving them to seek yield and income from non-traditional and riskier asset classes such as high yield, emerging markets debt, leveraged loans and private credit.

This means investors who want higher returns must consider taking on greater risk — by increasing leverage or moving into riskier asset classes.

If you put your $ 5,000 into a riskier asset class such as stocks (ie a stock mutual fund) then in 6 months your investment might be worth more than $ 5,000 or it could be worth less than $ 5,000 (possibly a lot less).

If our model predicts a higher loss potential than you have specified for your portfolio, we will execute a reallocation from a riskier asset class (such as stocks) into a lower risk asset class (such as government bonds or money market funds).

Yes, there will be slightly larger short - term losses with the addition of the more risky asset classes, but these asset classes also rebound much faster when the market turns around.

Most of the time, they say to make it so as soon as they see you have a system using more than a few asset classes, the returns are good compared to the markets, there's a healthy amount of bonds, you're recommending small amounts of risky asset classes, you're not trading stocks / ETFs, not trying to predict the future, and you're using mutual funds in a mostly «buy and hold» fashion.

This is how riskier asset classes, such as emerging markets, can improve returns and reduce portfolio risk even though an asset class may be considered volatile on its own.

These are risky asset classes, but great for diversification and rebalancing.

It's clear what the central bankers are hoping for: they want us all to keep borrowing and spending and by providing negative real interest rates on cash force us into riskier asset classes: notably stocks.

Another of his ideas is that the seemingly - permanent increase in valuations for risky asset classes is a valid response to «improvements in the way a market functions... which lead to reductions in the costs of those who use it.»

The BMO GAM report alludes to some of the ETF liquidity concerns that have been in the news, and cautioned that investors should only allocate a limited percentage of their portfolios to riskier asset classes.

However, if the U.S. and world stock markets start to lose steam, which early clues suggest could already be the case, then safe - haven gold would benefit as money starts to flow out of the riskier asset class, equities.

If you put your $ 5,000 into a riskier asset class, such as stocks (or a stock mutual fund), then in 6 months your investment might be worth more than $ 5,000 — or it might be worth less.

Or round out your core portfolio with small bets in index funds that focus on riskier asset classes, such as an ETF that owns Japanese stocks or an index fund that specializes in biotech stocks.

Similar to high school chemistry, this piece discusses the concept of combining two risky asset classes, commodities and equities, to actually reduce overall portfolio volatility.

Allocation: The Intelligent Asset Allocator Portfolio focuses on diversification and heavier weights to riskier asset classes to increase the likelihood of higher returns.

We then start to examine how diversification through combining assets, in this case a simple stock and bond mix, works to mitigate the extreme drawdowns of risky asset classes.

Moving to a riskier asset class like hedge funds means relying more on the investment to grow in value — seeking so - called paper gains that are meaningless unless one can cash out at the right time.

Fixed income positions are minimized and risky asset classes are fully utilized.

Core equity asset classes are used, but very risky asset classes are still held to a minimum.

Since the return on short - term cash investments is generally much less than that of riskier asset classes like equities, holding these higher cash levels can end up reducing an active manager's returns.

Very risky asset classes are typically avoided altogether.

The oil price collapse, which follows a drop in global coal prices, shows that the global fossil fuel sector is presently one of the world's riskiest asset classes.

These are risky asset classes, but great for diversification and rebalancing.

On the other hand, if you follow someone who takes high risk and trades risky asset classes, such as currencies, then you could easily lose a substantial amount of money.

Not exact matches

This is probably the most common use of digital currency for individuals and non-professionals: as an alternative, risky, potentially very rewarding sort of asset class.

Christopher M. Sulyma filed a lawsuit on behalf of two proposed classes of participants in the Intel 401 (k) Savings Plan and the Intel Retirement Contribution Plan, claiming that the defendants breached their fiduciary duties by investing a significant portion of the plans» assets in risky and high - cost hedge fund and private equity investments through custom - built target - date funds.

Somehow, we have concluded that unaccredited investors should be able to likely lose their hard - earned money by investing in the most risky of asset classes.

Plaintiff Christopher M. Sulyma, on behalf of two proposed classes of participants in the Intel 401 (k) Savings Plan and the Intel Retirement Contribution Plan, claims that the defendants breached their fiduciary duties by investing a significant portion of the plans» assets in risky and high - cost hedge fund and private equity investments.