I suspect that many investors
sold their risky assets especially in the financial sector and mitigated into these companies.
Indeed, history has shown that when prices for risk - free assets (like Treasuries) fall to attractive levels, investors often
sell their risky assets and purchase Treasuries.
TOKYO, June 4 (Reuters)- Japan's shares fell sharply on Monday, with the broader Topix index hitting a 28 - year low, as investors rushed to
sell riskier assets on disappointing U.S. jobs data, deepening debt woes for the euro zone and slowing Chinese growth.
Uncertain market conditions and rising short - term interest rates encouraged investors to
sell risky assets.
Not exact matches
With $ 30 billion of
assets to
sell in the wake of its acquisition of BG, Shell is a
riskier but possibly more rewarding bet on the oil price.
And it's the uncertainty of the price you'll get for your
risky assets like shares when you need to
sell them that is behind the shift into bonds and cash.
Seth Carpenter, Selva Demiralp, Jane Ihrig and Elizabeth Klee find that some categories of investors appear to
sell U.S. Treasuries to the Federal Reserve and rebalance toward
riskier assets (corporate bonds, commercial paper, and municipal debt).
The
selling proposition of a high yield ETF is that you can make a lot of money by diversifying across
risky asset groups.
You keep your
risky assets in a separate long - term bucket and avoid
selling them when markets are down.
Eventually, the company's efforts to shed
risky assets proved unsuccessful, and investors
sold off shares of Lehman in the fear that it wouldn't have enough capital to continue business as usual.
Like the other approaches, it keeps some money in less
risky ballast
assets to help minimize portfolio declines and gives you more time to wait out any bad luck stock market crashes before having to
sell any stocks.
Selling an option can be very
risky especially if you don't already own the underlying
asset.
S&P 500 Finishes Week Lower;
Risky Assets Look Overextended Trading ended in the stock index futures on Friday with the three major indices getting hit hard by
selling pressure.
The Great Recession affected
asset classes in different ways as
riskier securities (e.g. those, which were more leveraged) were
sold off in large quantities, while simpler
assets, such as U.S. Treasury Bonds, became more valuable.
More literate households hold
riskier positions when expected returns are higher, they more actively rebalance their portfolios and do so in a way that holds their risk exposure relatively constant over time, and they are more likely to buy
assets that provide higher returns than the
assets that they
sell.
Anybody remember how New Jersey decided to
sell pension bonds and lever up their pension investments in
risky assets?
This isn't a call to go nuts and
sell all of your
risky asset positions.
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.
To avoid a crash, Gore recommended they
sell the
riskiest carbon - intensive
assets and put money into «fantastic new opportunities» like renewable energy.
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.