Securities
in sentence
720 examples of Securities in a sentence
The principles applied by
securities
regulators since the 1930s remain sensible: protect investors and require sufficient disclosure of all the risks involved in an investment.
It also became dependent on China’s savings surplus to finance its own savings shortfall (the world’s largest), and took advantage of China’s voracious demand for US Treasury
securities
to help fund massive budget deficits and subsidize low domestic interest rates.
CDOs are a form of financial alchemy: special-purpose vehicles that buy the financial equivalent of lead (low-rated mortgaged-backed securities) and finance themselves mostly with the financial equivalent of gold (highly sought-after AAA bonds).
Unfortunately, no precise mathematical model can determine correlation across securities, which is always an educated guess based mostly (sometimes entirely) on past behavior.
According to Standard and Poor’s, for example, “The rating on EFSF reflects our view that guarantees by ‘AAA’ rated sovereigns and freely available liquidity reserves invested in ‘AAA’
securities
will, between them, cover all of EFSF’s liabilities.”
Selfless SeigniorageNEW YORK – As the central banks of major developed economies have intensified quantitative easing (QE, or large-scale purchases of government bonds and other long-term securities), developing-country leaders have increasingly voiced concern about the policy’s adverse impact on their economies’ stability and growth.
As the US current-account deficit rose over the past half-decade, international economists have lined up to predict doom: returns on assets invested in the US are relatively low, so at some point - probably all at once - holders of dollar-denominated
securities
will realize that the risk of suffering a major crash in value is not being adequately compensated.
Once portfolio investors start selling their dollar-denominated securities, a stampede will follow, causing the dollar's value to crash and triggering the first major global financial crisis of the twenty-first century.
China's government regards the threat of capital losses on its dollar-denominated
securities
as less important than the need to maintain near-full employment in coastal manufacturing cities like Shanghai.
Their domain encompasses banks, other depository institutions, insurance companies,
securities
firms, pension funds, finance companies - indeed, just about any entity that conducts financial transactions.
Now consider the alternative structure of multiple financial regulatory agencies - say, one for banks, another for other deposit institutions, yet another regulator for insurance, another for securities, maybe another for pensions.
In the US there are three national agencies that regulate commercial banks, one that regulates savings institutions, one that regulates credit unions, one that regulates
securities
markets, one that regulates commodity and financial options/futures markets, and two that regulate pension funds.
In addition , the 50 American states each have separate bank regulators (with overlapping jurisdictions with the national regulators), most have savings bank regulators, all have credit union regulators, all have insurance regulators (which is solely a state responsibility), and all have
securities
regulators.
It found these in the US, mainly in the form Treasury and other government-backed securities, in turn pushing other investors into more speculative investments.
To address this distortion, the payoffs of financial executives should be tied not to the long-term value of their firms’ common shares but to the long-term value of a broader basket of
securities.
In order to stop these securities’ downward slide – and thus to save itself – the ECB bought these government bonds and announced that, if need be, it would do so in unlimited amounts.
Holding euros and acquiring euro-denominated
securities
have become attractive again around the world, pushing up the exchange rate and causing new difficulties.
Now, with the Fed publicly considering an end to its massive, open-ended purchases of long-term
securities
and foreign capital fleeing home from emerging markets, many fear that Asia’s economies could come crashing down, as they did in the late 1990’s.
And the problem isn’t limited to such financial products: with issuers of other debt
securities
choosing and compensating the firms that rate them, the agencies still have strong incentives to reciprocate with good ratings.
Well, such a mechanism would indeed reduce raters’ negative incentives to compete with one another to please issuers of securities, and to pursue innovations and improvements that enable raters to serve issuers better.
Now it is up to the European Parliament to address this hypersensitive issue, the most controversial part of which is the powers and responsibilities to be given to the three new pan-European supervisory agencies for banking, securities, and insurance.
Most of these funds are now invested in dollar
securities.
This need not mean outright default; a plan to repay principal and interest with low-interest
securities
rather than cash – or to withhold income tax on interest earned from government bonds, crediting those taxes against the obligations of American taxpayers – would achieve the same result.
The prices of structured
securities
such as collateralized debt obligations have come down, because the institutional fraud of a multi-fold chain of securitizations has been detected.
Elsewhere (the US), the losses were covered up with a great deal of regulatory “forbearance” (i.e., agreeing to look the other way while banks rebuild their capital by trading securities).
Declining house prices are key to the financial crisis and the outlook for the economy, because mortgage-backed securities, and the derivatives based on them, are the primary assets that are weakening financial institutions.
Until house prices stabilize, these
securities
cannot be valued with any confidence.
In the United States over the past 100 years, investments in stocks delivered an average 6% more than safe investments in short-term government
securities.
In Italy between 1961 and 1994, for example, stock investments brought an average return of around 6% more than investments in treasury
securities.
Certainly, there have been extraordinary periods, such as the 1950s, when the differential between investing in the stock exchange in Milan and treasury
securities
climbed to over 22%.
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