Sentences with phrase «yields than bonds»

Income trusts, like equities, tend to offer more attractive yields than bonds but with more risk.

Nevertheless, Chinese bonds continue to gain traction among global investors as they offer higher yields than the bonds from other major markets.

Stocks were seen as speculative so it was natural to think that they had to have higher yields than bonds.

But the reason why you might want to rethink your position on GICs: they currently have higher yields than some bonds, with the same risk.

For example, a plot of all bonds against a theoretical (usually zero coupon) yield curve show «rich» (overvalued) bonds with lower yields than bonds of similar credit and term, or «cheap» (undervalued) bonds with higher yields than bonds of similar credit and term.

This, though, was a function of the trend in interest rates; at the start of those periods, the funds were buying bonds with higher yields than bonds offer today.

At the time, stocks were expected to have a higher dividend yield than bonds to compensate investors for the extra risk carried by equities.

The appeal of preferred funds is they offer higher yields than bond ETFs, explains Alfred Lee, vice-president of BMO Global Asset Management and lead manager of the bank's Laddered Preferred Share Index ETF (TSX: ZPR).

At the time, stocks were expected to have a higher dividend yield than bonds to compensate investors for the extra risk carried by equities.

Stocks of some high - quality companies such as Johnson & Johnson (JNJ) currently feature higher yields than their bond counterparts, an unusual phenomenon that speaks to incredible shrinking fixed - income yields.

Not exact matches

LONDON, May 1 - The dollar broke into positive territory for the year and bond yields were creeping higher again on Tuesday, as the recent rise in oil prices fuelled bets that the U.S. May Day holidays across Asia and Europe meant trading was thinner than usual, though there was more than enough news flow to keep those...

In a client note on Thursday titled «Yanking down the yields,» the interest - rates strategist projected that bond yields would be much lower than the markets expected because central banks including the Federal Reserve were reluctant to raise interest rates.

So, it is a very different market than it was 10 years ago, and you're going to see a lot of corporate bond issuance as these infrastructure projects go out there, and you can capture some pretty good yields and you know what you're buying because it's a corporate bond.

The bonds of iHeartMedia have long been in the basket of «distressed debt,» meaning their prices have fallen so far to where their yields are at least 10 percentage points higher than equivalent Treasury yields.

Stock markets were routed around the globe on Monday and bond yields rose as resurgent U.S. inflation raised the possibility central banks would tighten policy more aggressively than had been expected.

The benchmark 10 - year yield hit a high of 2.626 % on March 13, briefly ticking above the 2.60 % threshold that the bond - market veteran Bill Gross had said was «much more important than Dow 20,000.»

In the bond market, the 10 - year US Treasury yield fell less than 1 basis point, to 2.79 %, near the key 3 % level that traders are closely watching.

If bond yields rise significantly then some analysts have highlighted that they could offer a better investment opportunity than equities.

Serge Pepin, the head of BMO Investments, says people should consider corporate or high - yield bonds — also known as junk bonds — which pay higher yields than federal issues.

Overseas, UK government bond yields spiked after higher - than - expected inflation data.

The yield on a 10 - year Canadian government bond is just 1.7 %, compared to more than 5 % a decade ago.

Bond investors like mutual funds and pension funds hope to buy securities with comparatively higher yields than other asset - backed debt that could also provide diversification benefits.

Bond yields rose to the highs of the day as Federal Reserve Chair Jerome Powell laid out a case where the Fed could raise rates more than it has forecast.

The longest - term portion of the offering, $ 8 billion of bonds maturing in 30 years, sold originally at 99.4 cents on the dollar to yield 1.95 percentage point more than comparable Treasuries.

Bond yields rose after Fed Chair Jerome Powell laid out a case where the Fed could raise interest rates more than it currently forecasts.

(Repeats to additional subscribers) NEW YORK, April 24 (Reuters)- The U.S. benchmark 10 - year Treasury yield topped 3 percent for the first time in more than four years on Tuesday, a milestone that reflects the durability of the U.S. economic expansion and stokes the view the three - decade - old bull market in bonds is numbered.

The biggest losers were energy (XLE), consumer staples (XLP) and materials (XLB), all down more than 7 percent amid riding bond yields — which makes dividend stock yields less attractive and overrode other factors, like stronger oil prices and a weak dollar.

Last week, for example, TD Bank sold US$ 3 - billion worth of bonds covered by residential mortgages yielding 1.571 %, or quite a bit lower than 2.99 %.

While Fink is right to point out that low interest rates are putting a large burden on those of us trying to save retirement, he does not address the fact that central banks aren't primarily responsible for the fact that bonds of all types are yielding less today than we're used to.

The real yield on a 10 - year Treasury bond was 0.72 percent on Nov. 17, and a 30 - year bond yields a little more than 1 percent after inflation.

Poland's 10 - year government bond yield rose 7 basis points to 3.14 percent, its highest level in four weeks, rising more than U.S. and German yields which it often tracks.

While credit risk might seem like a bad idea with the U.S. economy still weak and the rest of the world looking equally uncertain, high - yield bonds do offer bigger returns than government and investment - grade bonds.

«A bear market in bonds calls for more than a global cyclical upswing, as not all forces that dragged yields down over the past decades have suddenly vanished,» argued Peter van der Welle, a strategist at Robeco.

The SPDR Barclays High Yield Bond fund gathered more than $ 1.1 billion, or about half its total for the year, while the iShares iBoxx $ High Yield Corporate Bond took in $ 603 million, pulling it out of negative territory for the full year.

Also, they usually offer higher yields than municipal bonds.

For instance, Morningstar found that passively managed target - date funds tend to have fewer holdings in high - yield bonds and Treasury inflation - protected securities than their actively managed counterparts.

While it's better to invest than keep money under a mattress, buying risk free securities, such as guaranteed income certificates or low - yielding government bonds, could actually be riskier than purchasing higher returning products, says Ted Rechtshaffen, president and CEO of Toronto's TriDelta Financial Partners.

The yield gap between U.S. 5 - year notes and 30 - year bonds narrowed to 27.20 basis points, the tightest spread in more than six years.

But the bank has taken more extreme measures, such as ramping up purchases to more than 40 percent of the market overall and saying it would control the yield curve by keeping the 10 - year government bond yield around 0 percent.

These mutual funds have promised higher yields and better returns than bond - only funds, and for the most part they have delivered.

Most investors shy away from bonds because they yield (or return) less than equities and tend to be more complex in nature.

On Monday, investors rushed into Treasuries as the S&P 500 and Dow Jones Industrial Average nosedived more than 4 percent - reversing a move on Friday when a spike in bond yields, which move inversely to prices, triggered an equity rout.

The Financial Times reports that $ 20 billion in dollar - denominated bonds issued by HNA and its subsidiaries are due to mature in 2018 or 2019; yields on three of those bonds have spiked, doubling this month to more than 18 %.

Certainly, it offers an attractive level for longer - term investors such as pension and insurance funds to lock in a relatively decent yield, and will tempt some portfolio managers to buy bonds rather than equities.

debt obligations of the U.S. government that are issued at various intervals and with various maturities; revenue from these bonds is used to raise capital and / or refund outstanding debt; since Treasury securities are backed by the full faith and credit of the U.S. government, they are generally considered to be free from credit risk and thus typically carry lower yields than other securities; the interest paid by Treasuries is exempt from state and local tax, but is subject to federal taxes and may be subject to the federal Alternative Minimum Tax (AMT); U.S. Treasury securities include Treasury bills, Treasury notes, Treasury bonds, zero - coupon bonds, Treasury Inflation Protected Securities (TIPS), and Treasury Auctions

Treasury yields retreat on Thursday by falling rates in European government bonds after eurozone inflation data came in weaker than expected.

Yields on U.S. 30 - year bonds, which are more sensitive than shorter maturities to the outlook for inflation, have jumped almost 40 basis points since last Friday and a $ 15 billion auction of the tenor on Thursday showed waning appetite for the securities.

-LSB-...] the long - term returns on bonds will certainly be lower than average based on the current yields.

One of the best economic indicators, the yield curve or the spread between short and long - term bonds remains in positive territory, with the long - term much higher than the short.

In a zero - interest rate world (Figure 7), these provide yields that are much higher than those found in more conventional investments like U.S. Treasury bonds or money market accounts.