Sentences with phrase «than corporate bonds»

Putting all this together, the Australian corporate bond market is relatively small in size and is less well developed than corporate bond markets in a number of other countries.

They are, however, widely viewed as conservative investments and safer than corporate bonds.

The retail investors are less diversified and more risk - averse, requiring a higher yield than corporate bond investors.

Municipal bonds are considered safer, low - risk investments than corporate bonds, since a municipal government is much less likely to go bankrupt than a corporation.

Bonds are generally less volatile than stocks, with government bonds generally being less volatile than corporate bonds.

And so, with mortgage bond deals, even more than corporate bond deals, liquidity is but for a moment, and that affects everything that a mortgage bond manager does.

It's less relationship - driven than the corporate bond market because there are fewer products to trade, making it more prone to automation.

There's a lot of confusion in a world that considers commodities safer instruments than corporate bonds.

And, oh by the way, the corporate bond issuers are a lot smarter than the corporate bond buyers because the issuers get call provisions and the buyers don't get put provisions.

That's why municipal bonds are generally considered much safer investments than corporate bonds, because a local government is far less likely to go bankrupt than a corporation.

The corporate bonds usually selected are a limited number of higher investment grade issues, which form a portion of the overall bond portfolio at a weight that is typically higher than the corporate bond weight in the market index.

LT treasuries should have lower risk than corporate bonds — much lower default risk.

Because government entities have the power to raise taxes and fees as needed to pay the interest, municipal bonds are generally considered to be less risky than corporate bonds, so they typically offer lower yields.

However, looking at it from the perspective of Taxable Equivalent Yield (TEY) municipal bonds are currently at higher yields than their corporate bond equivalents.

The downside is that many have longer maturities than corporate bonds, and there is no guarantee you'll get your initial capital back intact.

Namely, bond coupon payments are determined by market interest rates, the type of issuing entity (government bonds pay lower coupons than corporate bonds because of lower default risk), the creditworthiness of the issuing entity (AAA companies pay lower coupons than CCC companies), and the maturity of the bond, which we will talk about next.

Diversity & number of bond issues: The nearly 100,000 bond issues tracked in the S&P Municipal Bond Index illustrates that the municipal market has many smaller and less frequent issuers than the corporate bond market.

There is more than one way to skin a cat, and frankly, even at the lows I never did consider equities to possess greater return potential than corporate bonds, which were priced for a much worse economic outcome (and that remains the case today, though the gap has narrowed).

When we had the last spike, the credit default swap market had notional amounts smaller than the corporate bond market.

Income, Yield and Duration: Investment grade municipal bonds on average have a higher coupon cash flow to bondholders than corporate bonds and that cash flow is exempt from federal taxation.

* Municipal bonds can also help insulate your portfolio against market volatility, and tend to have lower default risk than corporate bonds.

If an investor is in this bracket, muni bonds offer a much higher tax - equivalent yield than corporate bonds, 3.5 % compared to 2.8 %.

2) The Chinese government bonds are more volatile than the corporate bonds in the past year!

Munis are considered less risky than corporate bonds and less sensitive to changing interest rates than Treasuries, making them an appealing middle ground for many investors.

At that point the 3 % municipal bond has a taxable equivalent yield of 4.62 %, slightly higher than the corporate bond.

Money market funds aren't 100 % safe (as we've seen recently with how the Lehman bankruptcy broke the buck of some major funds) but these invest in tax exempt securities which are, presumably, safer than corporate bonds.

Mortgage bond yields tend to be lower than corporate bond yields, as the securitization of mortgages makes such bonds safer investments.

Since the government is unlikely to default on a loan, gilts are considered to be lower risk than corporate bonds.

Although these bonds offer a lower interest rate than corporate bonds, because of tax - exempt advantages, munis could bring in an after - tax return higher than a corporate bond.

* Municipal bonds can also help insulate your portfolio against market volatility, and tend to have lower default risk than corporate bonds.

U.S. Bonds are issued by the Treasury Department and other government agencies and are considered to be safer than corporate bonds, so they pay less interest than similar term corporate bonds.

So people who maybe in the past used to own corporate bonds now own dividend stocks, indiscriminately, because the yields there are higher than some corporate bonds.