Sentences with phrase «short bond position»

As they've upped their short bond position, they've increasingly gone short the dollar too.

Not exact matches

These include currency - hedged ETFs, triple - levered ETFs based on commodities, unconstrained bond funds with short positions betting against U.S. Treasurys, private equity funds, emerging market debt instruments, historically less - liquid bank loan funds, and all manner of actively managed strategies packaged in supposedly easy to buy and sell wrappers.

«Net short positions on 10 - year Treasury notes are at historical highs, implying that rising US bond yields remains among hedge funds» major convictions.»

It's the largest hedge ETF, with $ 1.1 billion in assets; it melds numerous strategies that include taking both long and short positions on U.S. stocks and bonds and emerging markets.

Therefore we expect the decline in interest rate futures, specifically the 10 - year Treasury Notes and 30 - year Treasury Bonds to be a temporary effect of speculative exuberance, and for interest rate futures to rally through the end of the month as the heavily short speculators are forced out of their positions.

Clients can get a nice boost in yield by putting cash positions into bond funds with short maturities, but understand the risks.

Relative value managers could have taken a simultaneous long position in the manufacturer's convertible bonds and offset it with a short position in the company's equivalent duration straight debt to capture the 300 basis - point price differential.

I don't particular like Fidelity's short duration inflation linked bond fund either, costs are two high and tracking is awful, not to mention the corporate and short position pollution.

The world's biggest wealth fund is for now sticking to an overweight position in the shorter bond maturities as the U.S. 10 - year Treasury yield has broken through the 3 percent threshold for the first time since 2014.

From a «consensual positioning» perspective which touches on this current «mean - reversion dynamic in the marketplace: say this big bond rally were to gather steam into a much more punishing squeeze of the «all - time» UST short base (largely due to the previously mentioned lack of «tolerance» for beginning of year performance pain).

The common element is that any long position taken in a specific equity is offset by a short position in either a merger partner (risk arbitrage), an «overvalued» member of the same sector (long / short paired trading), a convertible bond (convertible arbitrage), a futures contract (index arbitrage) or an option contract (volatility arbitrage).

Central banks initiating «short volatility positions» via QE have dampened long - term sovereign bond yields, which crowded out private capital and induced investors to «find something else to do» by buying more esoteric assets

Pros: highly liquid, major tenors are well represented in cash bonds Cons: balance sheet intensive (ties up cash), does not support outright short positions (some part of the curve are relatively less liquid), does not support forward positions

As you'll see from the chart below, hedgies certainly are short bonds: In their research, SocGen also found that hedge funds still had large short positions in 30 year treasuries as well.

Societe Generale is out with the latest edition of their hedge fund watch and in it we see that they've found hedge funds to have the «shortest position ever on bonds.»

In this case the corporate bond portfolio may rise less (or decline more) in value than the hedge offered by the short treasury position.

Bond trading can be short, or long term and allows bond traders to take a position on future interest rate movements while leveraging the security and stability of government treasurBond trading can be short, or long term and allows bond traders to take a position on future interest rate movements while leveraging the security and stability of government treasurbond traders to take a position on future interest rate movements while leveraging the security and stability of government treasuries.

Managed futures as an asset class are historically non-correlated to the stock and bond markets over long term periods and encompass a wide range of trading strategies (generally taking long / short positions in futures contracts on equity indices, commodities, financials and currencies).

The Dow Jones Credit Suisse 30 - Year Inflation Breakeven Index tracks the returns of a long position in 30 - year TIPS and a short position in Treasury bonds.3, 4

With an average weight of 10.3 %, the equivalent short - term investment position in the iShares 1 - 3 Year Treasury Bond ETF (SHY) was substantial, which indicates that at times the fund may have engaged in market timing typical of value investments.

The cash and short - term investment position of the fund was modeled by the iShares TIPS Bond ETF (TIP; average weight of 15.9 %).

We have been partially invested in trading accounts, in a bearish position with 1/3 of our position profitably in bond ETFs and another 1/3 in an inverse (short) ETF, as I predicted last week.

Convertible arbitrage holds long positions in convertible bonds while shorting the stock of the underlying company.

Felix has now sent the bond position to the penalty box, so we have a cautious short position.

They end up with 20 - 30 positions, some in short - term bonds and some in secured floating - rate loans (for example, a floating rate loan at LIBOR + 2.8 % to a distressed borrower secured by the borrower's substantial inventory of airplane spare parts), plus some cash.

For the early part of any credit - related decline in bond prices, there are obvious hedges, such as credit default swaps, short Treasury bond futures positions and inverse Treasury ETFs.

It also currently holds a particularly large position in cash and short - term bonds, which undermines returns when interest rates are stable, but provides good protection when interest rates rise.

That gives it substantially more credit risk than investment - grade bond funds, but the high - yield short positions moderate some of that risk.

By taking such short positions, the index seeks to mitigate the potential negative impact of rising Treasury interest rates («interest rates») on the performance of high yield bonds (conversely limiting the potential positive impact of falling interest rates).

After an equivalent position in the iShares 1 - 3 Year Treasury Bond ETF (SHY; average weight of 24.6 %) representing short - term investments, the fund's equivalent position with the second highest average weight was in the iShares Core S&P Mid-Cap ETF (IJH; 13.6 %).

The index is comprised of (a) long positions in USD - denominated high yield corporate bonds («high yield bonds») and (b) short positions in U.S. Treasury notes or bonds («Treasury Securities») of, in aggregate, approximate equivalent duration.

The short positions are not intended to mitigate other factors influencing the price of high yield bonds, such as credit risk, which may have a greater impact than rising or falling interest rates.

The fund's equivalent position in cash and short - term investments was in the iShares 1 - 3 Year Treasury Bond ETF (SHY; average weight of 35.4 %).

The Citi 30 - Year TIPS (Treasury Rate - Hedged) Index tracks the performance of long positions in the most recently issued 30 - year Treasury Inflation - Protected Securities (TIPS) and duration - adjusted short positions in U.S. Treasury bonds of, in aggregate, approximate equivalent duration to the TIPS.

Aside from Treasurys and Treasury futures (including possible short positions), FIBR has exposure to MBS, short - and intermediate - term investment - grade bonds, and high - yield securities.

an indicator of how long a security position or lot was held; possible values are Long: held for more than 1 year; Non-Reportable: lot or position was closed as the result of a transaction other than a sale; no reportable gain / loss was reported, the holding period and resulting term are not reported; Short: held for 1 year or less; and Unknown: Fidelity does not know how long the position or lot was held; this state typically exists because the shares were transferred to Fidelity from another institution and the holding period prior to the transfer was not communicated; for fixed - income securities, this is the period of time from the security's issue date until the maturity date; for example, for a 10 - year corporate bond the term is 10 years

Fortunately, the bulk of the portfolio's bond position is held in short - term bonds, which are less sensitive to interest rate movements.

IGHG and HYHG seek to hedge investment grade bonds and high yield bonds, respectively, against the negative impact of rising rates by taking short positions in Treasury futures.

The short positions are not intended to mitigate credit risk or other factors influencing the price of the bonds, which may have a greater impact than rising or falling interest rates.

The fund had just three equivalent positions: in the SPDR ® Bloomberg Barclays Short Term Corporate Bond ETF (SCPB), SPDR ® Bloomberg Barclays Convertible Securities ETF (CWB) and iShares Select Dividend ETF (DVY).

Some of those risks include general economic risk, geopolitical risk, commodity - price volatility, counterparty and settlement risk, currency risk, derivatives risk, emerging markets risk, foreign securities risk, high - yield bond exposure, noninvestment - grade bond exposure commonly known as «junk bonds,» index investing risk, industry concentration risk, leveraging risk, market risk, prepayment risk, liquidity risk, real estate investment risk, sector risk, short sales risk, temporary defensive positions, and large cash positions.

It should also be noted that an equivalent cash and short - term investments position in the iShares 1 - 3 Year Treasury Bond ETF (SHY; included in the Other component of the above chart) was as high 18.7 %.

The historical cash theme is represented by an equivalent position in SHY (short - term Treasury bond ETF).

This strategy invests in very short term high income bond ETFs with a small position invested in small - and mid-cap high dividend stocks.

The common element is that any long position taken in a specific equity is offset by a short position in either a merger partner (risk arbitrage), an «overvalued» member of the same sector (long / short paired trading), a convertible bond (convertible arbitrage), a futures contract (index arbitrage) or an option contract (volatility arbitrage).

Pimco Total Return Fund suffered its biggest decline in almost two decades in 2013, hurt by similar positions in shorter - term debt and inflation - linked bonds.

We believe both short - and long - term bond yields could move up, and we plan to maintain an overweight position in corporate bonds compared to the Bloomberg Barclays Capital Intermediate U.S. Government / Credit Index, as they tend to outperform Treasuries during periods of economic expansion.

Improving High - Yield Bond Portfolio Returns Investors in corporate credit, especially high - yield bonds, tend to face shorter cycles of booms and busts than do government bond investors, and therefore have more frequent opportunities, as a result of year - over-year price volatility, to advantageously position their portfolBond Portfolio Returns Investors in corporate credit, especially high - yield bonds, tend to face shorter cycles of booms and busts than do government bond investors, and therefore have more frequent opportunities, as a result of year - over-year price volatility, to advantageously position their portfolbond investors, and therefore have more frequent opportunities, as a result of year - over-year price volatility, to advantageously position their portfolios.

Thus, if an investor used this strategy to determine when to go long, short, or neutral, the current signal indicates a neutral / short - term bond position based on relative strength.

Short positions in metals and bonds accounted for the gains for those commodity trading advisors who were fortunate to catch them.