The Risk of Low Interest Rates

first_imgHome / Daily Dose / The Risk of Low Interest Rates Governmental Measures Target Expanded Access to Affordable Housing 2 days ago The Best Markets For Residential Property Investors 2 days ago Nicole Casperson is the Associate Editor of DS News and MReport. She graduated from Texas Tech University where she received her M.A. in Mass Communications and her B.A. in Journalism. Casperson previously worked as a graduate teaching instructor at Texas Tech’s College of Media and Communications. Her thesis will be published by the International Communication Association this fall. To contact Casperson, e-mail: [email protected] Demand Propels Home Prices Upward 2 days ago Data Provider Black Knight to Acquire Top of Mind 2 days ago October 16, 2017 1,789 Views Share Save Previous: Freddie Mac: Providing New Solutions to Financial Health? Next: Market Update: Home Sales’ Status in Daily Dose, Featured, Journal Subscribe Servicers Navigate the Post-Pandemic World 2 days ago Related Articles The Risk of Low Interest Ratescenter_img Demand Propels Home Prices Upward 2 days ago About Author: Nicole Casperson Governmental Measures Target Expanded Access to Affordable Housing 2 days ago Amidst uncertainty if the Fed will spike interest rates, an article released Monday by Seeking Alpha argues that low interest rates could be the cause of lending risks, but why?The article reveals the process of how low interest rates can lead to causes that implement risk. This starts with a bond bull market, which means that the price of bonds is high and “the higher the quality of the bond, the higher the price.”In addition, when bond prices go up, yields go down. Similarly, safe bond prices go up when interest rates go down.It is important to note that lower yields mean lower mortgage rates, and mortgage rates are directly tied to the yield of treasury bonds. Additionally, low interest rates don’t allow for refinancing, because if a borrower wants to refinance their mortgage the only thing that can happen is a lowering of interest rates.So what type of risk comes with buying a safe bond with a 4 percent yield? According to the article, “this bond would cost more than the bond will pay back when it matures.”When inflation has ruined an initial investment, then investors must look for another way to receive revenue, as this low interest rate situation “sets the stage for alternatives.”According to the report, “alternatives are ways to raise money by pledging not just assets, but also cash flows to you the lender.”However, these alternative forms of income come with some major risk, as it results in relying on “someone else’s mortgage or the cash flows” to back the money lent from a business. Today, these alternative income investments are tempting for “institutions that must deliver more income than they can get from safe investments.”Reminder: Being a beneficiary of any of these investment pools makes the risk is even higher. The Week Ahead: Nearing the Forbearance Exit 2 days ago Data Provider Black Knight to Acquire Top of Mind 2 days ago  Print This Post Servicers Navigate the Post-Pandemic World 2 days ago The Best Markets For Residential Property Investors 2 days ago Sign up for DS News Daily Tagged with: bond prices bonds Fed low interest rates Mortgage Rates Risk Seeking Alpha bond prices bonds Fed low interest rates Mortgage Rates Risk Seeking Alpha 2017-10-16 Nicole Caspersonlast_img read more

GHS to celebrate FFA Week

first_img The Penny Hoarder Issues “Urgent” Alert: 6 Companies… “These members come from rural, suburban and urban environments and are interested in the diversity of careers within agriculture,” Mullins said. “FFA members are the innovators and leaders of tomorrow. Through agricultural education and hands-on learning, they are preparing for the more than 300 career opportunities in the food, fiber and natural resources industry.”Mullins said the Goshen FFA members will celebrate National FFA Week by participating in a variety of activities.“February 19 is FFA Recruitment Day and Goshen FFA members will promote FFA and its purpose on campus as a way to increase membership,” Mullins said. “The next day, the focus will be on campus and community beautification. Our members will continue to promote recycling and keep our environment trash free.” Print Article Plans underway for historic Pike County celebration Book Nook to reopen On Feb. 21, the FFA will host the Ag Olympics, which will be a highlight of FFA Week.“This will be a time for our members to get to know each other better and show off their Ag knowledge in an Ag Olympic game challenge,” Mullins said. “On February 22, we’ll host Appreciation Day and members will be challenged with showing their appreciation to someone they feel is deserving. This could be a classmate, parent, teacher or administrator.”National FFA Week is sponsored by Tractor Supply Company, which is the leading retail farm and ranch store brand in America. Tractor Supply Company owns and operates more than 1,150 stores in 45 states.“We appreciate Tractor Supply Company’s support of the FFA program at Goshen High School as well as FFA programs across the country,” Mullins said. Email the author Published 11:03 pm Friday, February 8, 2013 The National FFA Organization is youth organization of 557,318 student members as part of 7,498 local FFA chapters in all 50 states and Puerto Rio and the Virgin Islands.“The FFA mission is to make a positive difference in the lives of students by developing their potential for premier leadership, personal growth and career success through agricultural education,” Mullins said. Troy falls to No. 13 Clemson Skip You Might Like Museum quilt show to host Gee’s Bend Quilters The much anticipated and long awaited Pioneer Museum of Alabama Quilt Show is just around the corner. The 2013 quilt… read more Remember America’s heroes on Memorial Day GHS to celebrate FFA Week Sponsored Content By Jaine Treadwell The Goshen High School FFA Chapter will celebrate more than 80 years of FFA traditions the week of February 16, which is National FFA Week.The theme for 2013 National FFA Week is “Grow.”Kelly Mullins, FFA advisor and Pike Agriscience and Technical Career Academy instructor, said the Goshen FFA Chapter will join more than 550,000 members nationwide in celebrating National FFA Week activities at local, state and national levels. By The Penny Hoarder Latest Stories Pike County Sheriff’s Office offering community child ID kits Around the WebMd: Do This Immediately if You Have Diabetes (Watch)Blood Sugar BlasterIf You Have Ringing Ears Do This Immediately (Ends Tinnitus)Healthier LivingHave an Enlarged Prostate? Urologist Reveals: Do This Immediately (Watch)Healthier LivingWomen Only: Stretch This Muscle to Stop Bladder Leakage (Watch)Healthier LivingRemoving Moles & Skin Tags Has Never Been This EasyEssential HealthGet Fortnite SkinsTCGThe content you see here is paid for by the advertiser or content provider whose link you click on, and is recommended to you by Revcontent. As the leading platform for native advertising and content recommendation, Revcontent uses interest based targeting to select content that we think will be of particular interest to you. We encourage you to view your opt out options in Revcontent’s Privacy PolicyWant your content to appear on sites like this?Increase Your Engagement Now!Want to report this publisher’s content as misinformation?Submit a ReportGot it, thanks!Remove Content Link?Please choose a reason below:Fake NewsMisleadingNot InterestedOffensiveRepetitiveSubmitCancellast_img read more