Not exact matches
More specifically, investors have sought the potential for higher returns from
riskier assets like private company stocks, as safer investments like T - bills and bonds
pay out next to nothing.
While issuing warnings or trying to educate the public against what regulators fear are
risky investments are not uncommon around the world, in this case they tried to sway public opinion against crypto
assets by
paying social media influencers to attack them.
Unfortunately, in a world in which cash
pays next to nothing and even
riskier assets, like stocks and bonds, have a lower long - term expected return than they once did (according to a BlackRock analysis using Bloomberg data), holding a sizeable portion of one's retirement savings in cash could prevent many from reaching their financial goals.
When reading «The Intelligent Investor» they claim that you can increase you position to 100 % stocks (
risky) if you meet a number of criteria, one of which is liquid
assets to
pay for living expenses for 1 year.
So investors may be reconsidering what to
pay for
risky assets.
In 2014 only very
risky assets are
paying 8 % interest.
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.
J.P. Morgan has agreed to
pay $ 75 million to settle litigation alleging it invested its stable value funds in
risky assets, causing losses to retirement plan participants.
They are willing to
pay remarkably higher prices for
risky assets.
It also means you draw down your
risky assets (investments) while preserving your risk - free
assets (your government -
paid, inflation - protected pensions).
When you implicitly and explicitly suggest that rates will remain lower for longer, people begin to count on
risky assets being safer than they are; similarly, the size of debts can become so large that those who trusted the policy makers lose the ability to service the debt (let alone
pay it back) when borrowing costs go up.
The RORO environment meant investors either felt they were, or were not getting
paid for taking the risk to invest in
risky assets.
All of this has a way of reducing risk, too, because it's naturally less
risky (in terms of capital risked) to
pay less than more for the same
asset.
The far more
risky asset class was
paying the far lower return.
But to get that better interest rate (or sometimes any loan at all) can be
risky; if you are unable to
pay off your loan as scheduled, the
assets you used as collateral will be seized and sold, and the money raised by selling the
assets will be used to repay the loan.
While issuing warnings or trying to educate the public against what regulators fear are
risky investments are not uncommon around the world, in this case they tried to sway public opinion against crypto
assets by
paying social media influencers to attack them.
While it's not unusual for governments or agencies to issue warnings or try to educate the public on what regulators may consider
risky investments, Polish financial authorities have taken it a step further, spending taxpayers» money on a smear campaign — trying to sway public opinion against crypto
assets by
paying social media influencers to attack them.
I find it interesting that people that are risk adverse always want to
pay off their mortgages when in reality,
paying off
assets that are not liquid is much more
risky.
Also NSAM has the ability to earn incentive fees each quarter based on NRF's cash available for distribution (or CAD) which may create an incentive for NSAM to invest in
assets with higher yield potential, which are generally
riskier or more speculative, or sell an
asset prematurely for a gain and
pay down borrowings, in an effort to increase its short - term net income and thereby increase the incentive fees to which it is entitled.