Sentences with phrase «to take on additional risk»

Instead of focusing on government securities, these funds take on the additional risk of investing in corporate bonds in exchange for increased returns.

Whatever their reasons for doing so, these investors take on additional risk in order to make more profit.

Beta, compared with the equity risk premium, shows the amount of compensation equity investors need for taking on additional risk.

That said, there is a way you can boost returns without taking on additional risk: stick to low - cost broadly diversified index funds and ETFs.

This is due to the lender taking on additional risk by allowing you to repay your loan over a longer term.

They will still receive the benefits, but you won't take on any additional risk, so everyone wins.

Insurance companies find that landlords take on additional risks when they allow renters to occupy their homes.

Insurance companies find that landlords take on additional risks when they allow renters to occupy their homes.

Therefore, our best plan of action right now is simply to focus on managing our existing open positions, rather than taking on additional risk exposure.

So why take on the additional risks and complexities of investing internationally?

They invest their funds into stocks of companies and hence take on additional risk which creates an opportunity to generate higher returns.

In many cases, investors may take on the additional risks of investing in certain areas for the potential of greater returns.

This is the case because the bank is taking on additional risk in issuing the loan.

Investors need to be compensated for taking on additional risk.

How do they go about achieving this without taking on additional risk?

Although it does take some time to complete the course, it ensure that you are not taking on any additional risk.

The benefit of the tax deferral might outweigh the difference in fees between the mutual fund and the ETF, and you're not taking on any additional risk with the more expensive fund.

This is one of the reasons investors are «lulled» into taking on additional risk as markets rise.

And the seed folks typically try to get all their ownership early on so they don't want or need to take on that additional risk at that stage.»

On the whole, higher yields tend to carry greater underlying risks, and the market is compensating investors for taking on those additional risks through the higher yields.

Put another way, people taking 15 - year mortgages are taking on additional risk versus those with 30 - year mortgages, for which they are rewarded by a lower interest rate — just as people with ARMs are rewarded with a lower interest rate for taking on the extra risk.

This difference may not be large enough to make you want to take on the additional risks associated with ARMs (which we'll discuss in a moment).

The numbers make sense, but will that make you happier if you can earn another 4 % -5 % on that loan while taking on additional risk?

Further, if you have taken on additional risks such as bought a Pitt Bull to guard your home or installed a trampoline for your kids, they may likely cause an increase in your rate.

Landlords often take on additional risks when they agree to open their properties to tenants and their guests.

The type of data they provided is called customer management which helps the creditor provide new products to their customers without taking on additional risk by providing the creditor with their customer's credit activity and trends, The credit bureaus also provide data to help the creditors acquire new clients.

Because your time horizon is fairly long, you may be willing to take on additional risk in pursuit of long - term growth, under the assumption that you'll usually have time to regain lost ground in the event of a short - term market decline.

If you need to hire some extra help for a limited period of time, a Temporary Employment Contract is a good way to get the help you need without taking on any additional risk.

Right now, yields for REIT's are about 3 % higher than government bond yields, meaning REIT investors are being well compensated for taking on additional risk.

It's hard to convince small business owners that if they work extra hard or take on additional risk to expand their businesses, that the government is entitled to more than half of the rewards.

The inevitable trade - off is that you will be taking on some additional risk; if the growth doesn't materialize, the stock price could fall.

Otherwise, there's no point in taking on the additional risk — not to mention the added expense — of active management.

Because they haven't had the means to set up a program, lend the funds, take on the additional risk and comply with consumer credit laws.

Persistence was the biggest help in overcoming initial challenges and taking on additional risks.

When you invest in global bond funds, however, you will take on additional risk.

In investment grade strategies, many investors are more interested in seeking higher yields without having to take on additional risk.

Other investors, however, are more inclined to take on additional risk in an attempt to make a larger profit.

We usually recommend that Couch Potato investors follow a classic balanced strategy, which consists of putting 60 % of your money in stocks and 40 % in bonds, but you may want to adjust the stock component upward if you're young and willing to take on additional risk in pursuit of larger returns.

Years Ending value 20 $ 2,191 40 $ 4,801 60 $ 10,520 80 $ 23,050 100 $ 50,505 I believe that most investors with a really - long - term view will be willing to take on some additional risk in order to seek more growth than that.

Therefore smart lenders are not likely to take on the additional risk of a manual underwritten file.

In investment grade strategies, many investors are more interested in seeking higher yields without having to take on additional risk.

The other half of the CAPM formula represents risk and calculates the amount of compensation the investor needs for taking on additional risk.

What this means is that you'd be paying significantly higher premiums (since the insurer is taking on additional risk) to avoid a relatively painless medical exam.

It's definitely not the panacea that some make it out to be, and not everyone will want to take on the additional risk.

If you seek out high return potential, then you must be willing to take on additional risk.

Known as «high yield» because of the rewards offered to those who are willing to take on the additional risks of a lower - quality bond.

Some of these funds may take on additional risks — such as investing in low - quality bonds — to compensate for their reduced interest rate risk.

That's why we invest in equities and that's why we're willing to take on the additional risk.

The insurance company may not be willing to take on the additional risk of having to pay out the premium on a policy on a high risk applicant.