Sentences with phrase «term bonds carry»

Such long - term bonds carry high volatility risk (the ETF's duration is 17.5), but Roche views them as insurance against a geopolitical or global economic crisis.

Short - term bonds command a lower interest rate than long - term bonds (usually) because of their quicker maturity, but short - term bonds carry risk just like long - term bonds (though the interest rate risk is lower, sometimes quite a bit lower, than for long - term bonds).

Because they have a high duration, long - term bonds carry significant interest rate risk.

Long - term bonds carry inflation risk.

Longer ‐ term bonds carry a longer or higher duration than shorter ‐ term bonds; as such, they would be affected by changing interest rates for a greater period of time if interest rates were to increase.

Not exact matches

By and large, most of our clients carry much higher levels of cash and short - term bonds and are much more diversified than they were prior to 2008.

In addition, bond funds investing in longer - term securities carry higher levels of interest rate risk.

In short, long - term investors should carry the majority of their bond exposure in more reliable, income - producing bonds that carry investment grade bond ratings.

Most long - term investors may benefit from carrying the bulk of their fixed - income exposure in investment grade bonds for the sake of reliable, long - term cash flow.

Over the year, average UDIBonos yields, as measured by the, were up 110 bps, eroding coupon and inflation carry on the bonds, leading to a 1.8 % loss in terms of total return in pesos.

These bonds are bought by investors on the open market for less than their face value, and the company uses the cash it raises for whatever purpose it wants, before paying off the bondholders at term's end (usually by paying each bond at face value using money from a new package of bonds, in effect «rolling over» the debt to the next cycle, similar to you carrying a balance on your credit card).

Bonds with long maturities also carry more risk since conditions years in the future are more uncertain than in the short term.

Of those, four carry ESG screens (two from TIAA - CREF and two from Trillium) and three represent absolute value or absolute return strategies, while one is a short - term bond index.

(n) requiring that agents who hold a licence for life insurance carry errors and omissions insurance, furnish a fidelity bond or belong to a compensation fund, and fixing the amount, form, requirements and terms thereof;