|
- 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./ `5 R) i( M9 F4 m+ D8 O8 _2 L
CDs could have different ratings, AAA -> F,
& O$ L+ n5 U) [% a. k3 Omore risky ones would have higher premium (interest rate) as a compensation for an investment. J# ]' N. s+ e. I0 b. b
main reason why ppl buy those risky CDs is because the rate of return exceeds their internal rate of return," G: `+ F; n* f+ E& e" t4 _0 Y
in other words, the interest rate of that investment > their required interest rate, therefore they invest in those securities.
, i$ I2 ]- H! w% x$ oAlso, fund managers would include risky assets in their portfolio for different purposes, eg efficiency., X8 e% c( M. }# q5 k* T
similar to bonds, CDs trading in the secondary market have different value at different times,8 m! K7 w+ g" o$ k9 F
normally the value is calculated by adding it's principle and interest.
; m+ P' u3 k5 J" L1 \% Heg. the value of the mortgage+the interests to be recieved in the future. 5 R! M( A/ X3 r: _4 X9 k
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.
5 H$ b' r: @2 S6 F6 A; p8 Q" _/ X. U# g; z- d, w
im not quite sure if the multiplier effect does really matter in this case.3 Z1 L. R. T1 o4 Z9 @+ M
in stock market, it's the demand and supply pushing the price up/downwards.
8 p1 E: W* t6 m$ U1 zFor eg, A bought 10000 shares @10$ ; B sells 20000 shares to C @ $12,, C! s" N( Z T5 i6 l6 Z
A's shares would suddenly increase to $120000 from $100000 which does not invlove any $ transaction./ }6 T- w6 l6 u! m ]2 H7 j
The 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. 9 O5 G* j. x1 W& L$ ]+ Q; G
but the value of their assets did really drop significantly.$ A5 z# w5 ~$ Z3 |" q. y0 b
( C' I% }- ~. ][ 本帖最後由 Kev 於 2008-10-8 07:26 PM 編輯 ] |
|
