Sentences with phrase «risky debt»

Be wary with all purchases of risky debt at present.

The low short term interest rates touched off a competition to bid for risky debt.

These are essentially being driven by the willingness of investors to buy risky debt without demanding any premium for the risk.

The company has taken steps to manage risk with regards to their European debt exposure, but there's still $ 5.6 billion in risky debt to worry about.

Factors that put you at risk are making an occasional late payment, living in a high foreclosure area, and / or carrying risky debts such as an interest - only mortgage.

Here's how you can reduce the amount of risky debt you carry, and get set on a plan to pay it off.

When credit spreads narrow, investors are more risk - tolerant because they want to buy riskier debt.

Although there may not be a bond bubble, with investors starved for yield, Gundlach predicts a potential bubble could form in credit risk as investors increase their leverage on riskier debt securities like junk bonds and emerging market debt.

High - yield debt in both the US and international bond ETFs also got a boost after yield - seeking investors moved longer on the yield curve and into riskier debt securities to achieve better returns on their investment capital.

Fed becomes huge hedge fund 2 arb risky debt spreads.

One of the practices that led to the 2008 financial crisis was certain banks bundling risky debt, selling it to clients, then betting against those same investments.

Because Treasuries are safe, they offer a lower return than riskier debt instruments, such as corporate bonds.

The BAA - AAA spread shows the yield premium that bond investors demand to own the more risky debt of a Moody's BAA rated credit versus a more highly rated AAA company.

«Of late, the view in financial markets has been unsettling: Banks and investors are holding riskier debt.

The shorter the maturity, the less risky the debt, everything else being equal.)

Specialists ply those trades now, and for the most part, they earn returns roughly equal to short - term risky debt.

Riskier debt moved up slightly but longer - term, investment grade bonds and foreign bonds slid as the dollar reversed a steady decline.

On the positive side, Treasury bond prices behaved very well last week, despite widening credit default spreads on riskier debt.

It is possible to over-arbitrage, even as it is possible to overpay for risky debt.

Because of this unique degree of safety, interest rates are generally lower for this class of secruities than for other widely traded debt, riskier debt securities such as corporate bonds.

There is no reason why the government / Federal Reserve should bail out common or preferred equityholders, and those that bought risky debt should pay part of the price as well.

Like CDOs, CLOs buy up riskier debt, bundle those loans together, and then slice that debt up into bonds for investors with varying risk levels.

Therefore, if you use that logic with the debt avalanche method, you could target your private student loans as the riskiest debt first.

That means that the difference in yields or «credit spread» between safe and risky debt has widened sharply.

At the same time that yields on Treasuries are declining, yields on riskier debt are rising.

And when Fed funds are rising, the opposite happens — funding rates for those clipping interest spreads rise, and the expectation of further rises gets built in, leading some to exit their trades into longer and riskier debts, which makes those yields rise as well, with uncertain timing, but eventually it happens.

Spreads are too tight, particularly on riskier debt.

Though the potential for loss is greater, these funds have professional managers who are more likely than the average retail investor to generate substantial profits by buying and selling cutting - edge stocks and risky debt securities.

Unbeknownst to most investors, some of the largest money market funds today are putting part of their cash into one of the riskiest debt investments in the world: collateralized debt obligations backed by subprime mortgage loans....

Know the risks before you decide to go forward with any risky debt relief program.

This applies to risky debt as well as stocks and hybrid instruments.

If so, you would have avoided most of the complex debt securities born in the last ten years, and would have been light on risky debt that was the building blocks for those securities.

Investors trading these bonds on the open market will price them at a premium compared to riskier debt.

The energy sector alone has $ 248 billion in junk bond debt — some of the riskiest debt there is!

Issuance plummets as yields rise and prices fall for risky debt.

And when Fed funds are rising, the opposite happens — funding rates for those clipping interest spreads rise, and the expectation of further rises gets built in, leading some to exit their trades into longer and riskier debts, which makes those yields rise as well, with uncertain timing, but eventually it happens.

If a significant portion of your debts are student loans, a bankruptcy is a risky debt relief alternative, even if you have ceased to be a student for more than seven years.

Therefore, if you use that logic with the debt avalanche method, you could target your private student loans as the riskiest debt first.

You could pass in for pension plans in order to invest your funds in not just ultra-safe government securities, however, riskier debt and fair investments as properly.

The bonds will be sold through a Wisconsin agency, the Public Finance Authority, that specializes in acting as a conduit for risky debt.

I do the best I can to study my local trends (jobs, incomes, housing inventories, construction prices, etc), and then buy deals with solid current fundamentals (yield > expenses, no risky debt, potential upside from adding value).