No two rising interest rate periods are alike and different asset classes will outperform during each.
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Just a few years ago, card companies were stumbling over each other to woo new accounts, offering all sorts of incentives, like zero-interest periods and lavish rewards programs, to get people to sign up.
They could decide to lower minimum payments, so that revolving customers will be inclined to take on more debt and end up paying interest for longer periods.
Increased average borrowing levels have resulted in higher interest expense in both periods.
Naively I took an interest only mortgage which I paid into for eight years through some periods of extremely high and crippling interest rates.
The Indian Loan Programme helps its bank partners offer lower interest rates, longer payback periods and smaller deposits.
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Households that have missed three or more mortgage payments may receive assistance through refinanced mortgages with lower interest rates and longer payment periods of up to 40 years.
Short sellers have also taken an interest in the shares, with short interest rising by 14.8% over the past two reporting periods.
The greatest outperformance for the highest yielding stocks came during the periods when real interest rates were at their most negative.
He likens home builders to retailers, whose pace of new-store openings generally slows during periods of rising interest rates and gas prices.
Social games depend on a group of people maintainting interest in the product for extended periods of time - something that is very hard to sustain.
JPMorgan and the most recent Economist Buttonwood column emphasize that stocks have not really performed all the well in periods of rock-bottom interest rates.
These are: a restructuring template for Greece's debt with long gross periods - three years for the interest payment and 5-10 years for the principal repayment.
As I am sure you know, interest rates are normally higher on loans for longer periods, because the conventional view is that for the lender, the risks of lending rise with the length of the loan.
Such outcomes tend to be associated with extended periods of lower, not higher, interest rates, as well as poor returns on other assets.
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Interest rate fluctuation has worked to make money artificially cheap in certain periods since the Fed inherited total control of monetary policy in 1971 after the dollar was delinked from gold.
Suppose that during some periods, investors are over-optimistic, failing to see the potential for conflicts of interest between themselves and the controlling owner.
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Elsewhere, short interest on SCCO has steadily declined in recent weeks, dropping by 12.1% over the past two reporting periods.
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