|
  
- 帖子
- 706
- 精華
- 0
- 威望
- 316
- 魅力
- 150
- 讚好
- 0
- 性別
- 男
|
12#
發表於 2008-10-8 07:03 PM
| 只看該作者
i thought it is the reason of rate of return.3 [* R7 | n2 P" e7 d
CDs could have different ratings, AAA -> F,
- M; B! b F% qmore risky ones would have higher premium (interest rate) as a compensation for an investment.
+ ^8 F: ]; t8 H5 e/ T vmain reason why ppl buy those risky CDs is because the rate of return exceeds their internal rate of return,
6 g2 b' _- A* ]7 sin other words, the interest rate of that investment > their required interest rate, therefore they invest in those securities.. A3 U1 p' b% d; z( v$ |% z$ j" g
Also, fund managers would include risky assets in their portfolio for different purposes, eg efficiency.3 z* M0 Z4 E: C. n# i: f
similar to bonds, CDs trading in the secondary market have different value at different times,
/ \" C2 U8 e, b: w* d/ [% R+ Bnormally the value is calculated by adding it's principle and interest.
/ [! M5 v5 y" @3 t& Ueg. the value of the mortgage+the interests to be recieved in the future. % P% u" ~/ r2 o* J5 r' L) I
banks who sell the CDs, could enjoy a few benefits like, the present value of cash and passing the risk of holding a debt to another party.
/ y1 h& k+ }% d$ H4 a8 X/ ?
( v0 H c& ]2 G% {. j/ y, t0 nim not quite sure if the multiplier effect does really matter in this case.7 T3 H1 Q! b& K9 u* a
in stock market, it's the demand and supply pushing the price up/downwards.7 F. Y9 N; ^: T9 `8 ~+ t
For eg, A bought 10000 shares @10$ ; B sells 20000 shares to C @ $12,% q& x/ ?9 _3 c2 D0 H! h- y
A's shares would suddenly increase to $120000 from $100000 which does not invlove any $ transaction.
; ?( o S" f8 f+ F/ ]: F6 jThe capital loss that ppl suffer nowadays, i believe, most of them does not really suffer a real $ lost yet as long as they dont sell their securities.
" }: z S! O# _. [6 N: K" ybut the value of their assets did really drop significantly.
3 y K" F5 f s$ ^+ G4 S/ E# e! ]
[ 本帖最後由 Kev 於 2008-10-8 07:26 PM 編輯 ] |
|