Sentences with phrase «segment of their bond portfolio»

Conservative investors can reduce the risk in the core segment of their bond portfolio even further by shortening its average maturity.

Not exact matches

This would also mean that the maximum commitment to each core segment by a conservative investor would be 80 % of a stock portfolio or 90 % of a bond portfolio.

«A segment of your portfolio is invested in bonds, which usually increase in value during a bear market.

Other factors also impact portfolio performance; most notably, the specific market segments in which it is invested — durations of junk bond funds will exceed durations of treasury funds with similar maturities.

Each month for investment grade and high yield bond market segments separately, they construct an equally - weighted long - only portfolio consisting of the 10 % of bonds with the highest exposure to each factor.

Bottom line: Indexing works best when you use low - cost indexes that cover broad segments of the stock and bond markets as building blocks to create a diversified portfolio that matches your tolerance for risk — and that, aside from periodic rebalancing, you'll stick with through good markets and bad.

Now that you have an ideal portfolio with a breakdown between equities and bonds, you can decide how to break down each of those sections into more defined segments.

High - yield bonds can help you spread assets across different segments of the financial market, reducing your risk concentration in any one asset class in your overall portfolio.

Most of the cash and bonds are held in the insurance segment and that is not included in my above analysis except for the stock portfolio.