Sentences with phrase «than a broad market bond»

Mordy adds the caveat that ZDB may expose investors to more corporate issuer risk than a broad market bond ETF like BMO Aggregate Bond Index (ZAG).

Not exact matches

However, these higher yielding bonds are often the most risky, resulting in a lower risk - adjusted return than the broad market.

Investors looking for exposure to developed - market, ex-US sovereign bonds of broad maturities should look no further than IGOV.

The result is a selection of bonds with higher volatility, lower credit quality, and higher yield than the broader high - yield market.

A fund that invests in just one type of stock or bond such as one industry sector, world region, country, or market capitalization will be less diversified and more risky than a broad based fund that invests in many companies across multiple industries, countries, and market caps.

It's also designed to mirror the characteristics of the broad - market funds mentioned above, but rather than holding bonds directly it gets exposure through a total return swap.

It should be noted that during a major bear market or correction bond funds, especially, short term bond funds, are the ballast in your account and either stay the course or recover much quicker than the broader market as a whole.

Strong demand for broad market and US government ETFs contributed to a more than $ 15 billion gain in net flows (see Bond ETFs keep momentum going).

There are only two ways that a bond manager can deliver superior returns than a broad - market index.

For that matter, your bond holdings could also have been more risky than the broad bond market, which could be the case if you invested heavily in high - yield, or junk, bonds, which lost more than 25 %.

For example, when stocks lost 37 % in 2008, the broad taxable bond market gained more than 5 %.

At base, this looks like Vanguard's attempt to generate an active fund that's just slightly more attractive than a broad bond market index.

investing in something along the lines of 20 % TIPS bonds, 25 % S&P / broad market, 20 % in a small cap / russell 2000 fund, 15 % in real estate and 10 % in a corporate bond fund: 1) will prove to be just as stable and as much of an inflation hedge against the «Permanent Portfolio» and 2) will provide much more steady returns than his proposed portfolio

When 10 - year Treasury yields surged by more than one and a half percentage points in early 1994, for example, the broad bond market lost roughly 6 % over the course of a little more than three months, and long - term Treasuries lost nearly twice that amount.

Principally, Modern Portfolio Theory 2.0 requires a greater mixture of asset classes with lower correlation to the broader market than that offered by stocks and bonds.

Also, property stocks typically offer higher yields than the broad equity market, they may serve as an effective inflation hedging tool, and they may help diversify a portfolio due to their generally low correlations to stocks and bonds.

In fact, the broad bond market is headed toward a return more than 5 % this year, while it appears long - term Treasuries will actually outperform stocks with a 20 % - plus return.

for example, if i have an ETF portfolio of broad market index funds (and throw in some bonds) it seems that regular rebalancing could cost me more than it will help.

More than 30 years ago he created a simple passive investing strategy that predated the exchange - traded fund market with a way you could put your portfolio on autopilot and earn returns that matched the returns of the broader stock and bond markets with minimal cost.