Keep in mind that municipal securities are subject to a number of risks including, but not limited to: Interest Rate Risk, the risk that the market value of fixed-income securities may fluctuate when interest rates change, and Prepayment Risk, the risk that the issuers of individual securities may prepay them at a time when interest rates have declined.
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Unlike credit-oriented benchmarks, the primary risk in government securities is interest rates.
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The Fed is highly leveraged and faces the risk of significant losses on its portfolio of MBS and longer-term government securities once interest rates rise, as they must.
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Money market funds remain large, and continue to invest in securities subject to interest rate and credit risk.
Unlike fixed-interest securities, stocks can potentially provide a considerable degree of inflation protection.
The Romneys paid tax because they hold stocks and securities yielding dividends and interest, and because they sold assets generating capital gains.
If in the process of preserving those cash flows, the politicians who get them block the raising of the debt ceiling, we could experience a sell-off in U.S. government securities which would raise interest rates here and could put the brakes on economic growth globally.
Many still face legal repercussions from mortgages, mortgage securities, foreclosure practices and interest-rate-fixing probes.
There were no alternatives to easily tradeable, interest-bearing securities, and lots of people wanted them.
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The most bullish talking point for securities markets is prolonged low interest rates.
TIPS, that is Treasury Inflation Protected Securities, offer fixed annual interest payments, but with TIPS the final repayment of principal varies with the Consumer Price Index.
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They provide a better return for those who own bonds and other interest-bearing securities but increase the costs to businesses, those buying homes and other borrowers.
The Fed itself has targeted the housing sector through monetary policy, buying residential mortgage-backed securities in order to push interest rates down and provide further relief to mortgage-holders.
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Federal Reserve policy-setters, in their post-meeting statement, left interest rates unchanged and said they would continue with purchases of Treasury and mortgage-backed securities meant to push down long-term interest rates.
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The Fed would contract its balance sheet by selling interest-bearing Treasury securities back to the public.
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The Federal Reserve is purchasing long-term Treasurys and mortgage-backed securities in an effort to lower interest rates and cut unemployment.
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Then, the Fed goes into the market and buys long-term U.S. securities in order to push down interest rates slightly.
If you qualify, you can use the interest earned on these securities to pay tuition and fees at eligible colleges and universities.
That's because it not only lowered interest rates on Treasury securities but also helped lower the spread between Treasury bonds and riskier assets.
On Saturday, the Wall Street Journal pointed out that the Social Security trust fund includes trillions in securities, representing past surpluses plus interest.
The move up in yields will be substantial enough over the next few years that all interest-rate sensitive securities will be affected (utilities, preferred stock, etc).
As interest rates on Treasury securities heads higher, so do the rates on mortgages and credit cards, adding further downward pressure on American living standards and suppressing economic growth.
This shortage manifests itself in the form of interest rates on Treasury securities that are near zero in nominal terms, and below zero when inflation is taken into account.
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If the Fed had not aggressively cut rates, the result would have been both higher interest rates on Treasury securities and a substantial increase in credit risk on other assets.
Greifeld has bought exchange companies in Boston and Philadelphia, as well as Stockholm's OMX Group, with exchanges in northern Europe, to increase the trading of securities and derivatives like options and interest rate swaps.
There is a belief among many investors that excess returns can be earned in the market by owning stocks for only 6 months out of the year and sitting the rest of the time in interest-bearing Treasury securities.
While total Fed earnings include fees for services like check clearing and wire transfers provided to depository institutions, the bulk of the earnings come from interest on loans and securities acquired as a by-product of its monetary policy.
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Combine these delays with the phenomenon we have seen the last few years of Treasury granting delays to financial institutions for delivery of Forms 1099 reporting interest, dividends and securities transactions to mid-February or later (then followed by corrected versions of those same documents for several months).
They found that it made sense to buy long bonds in almost all interest-rate scenarios but one: when rates are low (so the risk that they will revert to the mean, thus undercutting the value of the bond, is high) and the yield curve a line drawn through the interest rates on government securities with different maturities is flat (so there is little extra reward for taking that risk).
Finally, you could buy Treasury Inflation-Protected Securities (TIPS) whose principal and interest payments adjust with inflation.
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