Riding the yield curve: Difference between revisions

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imported>Doug Williamson
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1. Speculative activity which takes advantage of the current yield curve in order to increase the expected return on investments.
1.  
 
Speculative activity which takes advantage of the current yield curve in order to increase the expected return on investments.
 
(At the risk of making losses if the current yield curve were to shift adversely.)
(At the risk of making losses if the current yield curve were to shift adversely.)


2. Similar speculative activity which takes advantage of the current yield curve in order to reduce the expected cost of borrowing.
 
2.  
 
Similar speculative activity which takes advantage of the current yield curve in order to reduce the expected cost of borrowing.
 
(Again at the risk of adverse effects, if the current yield curve were to shift adversely.)
(Again at the risk of adverse effects, if the current yield curve were to shift adversely.)


== See also ==
== See also ==
* [[Speculation]]
* [[Speculation]]
* [[Yield curve]]
* [[Yield curve]]

Revision as of 14:16, 20 August 2013

1.

Speculative activity which takes advantage of the current yield curve in order to increase the expected return on investments.

(At the risk of making losses if the current yield curve were to shift adversely.)


2.

Similar speculative activity which takes advantage of the current yield curve in order to reduce the expected cost of borrowing.

(Again at the risk of adverse effects, if the current yield curve were to shift adversely.)


See also