Sentences with phrase «therefore at higher yields»

If a company's financial health worsens over time, investors in the bond market will adjust to the increased risk and trade the bonds at lower prices and therefore at higher yields.

Not exact matches

It is therefore not yet clear (although clarity could develop in the coming weeks) that we are at a tipping point from which we will see bond yields march dramatically higher.

Obviously, someone in this situation would prefer Canadian equities that paid a high yield at the expense of lower price appreciation, and therefore might reasonably choose a dividend - focused ETF in a taxable account.

Therefore, a truly undervalued blue - chip with a higher yield than a fully valued, or even moderately overvalued comparable blue - chip, may actually be the lower risk choice at that time.