Sentences with phrase «yield debt tends»
When stocks correct, high - yield debt tends to follow.
http://www.etf.com/ Not exact matches
The stocks that hedge funds have largely ignored tend to be much larger than the hotels, have less debt, grow earnings more slowly but consistently, and pay bigger dividends (an average yield of nearly 3 % for the S&P 500 constituents, compared with 2 % for the index overall).
Stocks with a history of consistently growing their dividends have historically tended to perform well and exhibit less volatility in a rising rate environment, while high yielding dividends, often considered «bond - like proxies,» have tended to be more vulnerable (due to their high debt levels) and have historically followed bond performance when rates rise.
They often include instruments such as high yield, emerging market debt and other more esoteric instruments that tend to be missing from traditional bond funds.
As interest rates tends to rise in anticipation of stronger economic growth, assets which are more sensitive to economic growth (such as high yield debt) can still perform well.
Mortgage rates tend to rise and fall along with the yield, or effective interest rate, on U.S. government debt.