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Our experts frequently write blog posts about the findings of the research we are conducting.

Displaying 11-14 out of 14 results for "Interest Rate Swaps".

FINRA Investor Alert: Equity-Indexed Annuities

(Sep 2010)

Equity-Indexed Annuities - A Complex Choice

The Financial Industry Regulatory Authority (FINRA) published an Investor Alert on the rewards and risks of equity-indexed annuities. An annuity makes periodic payments to the holder of the annuity. There are fixed annuities that make fixed payments and variable annuities that make variable payments. Equity-indexed annuities (EIA) are similar to both fixed and variable annuities. They pay an interest rate linked to an equity index and guarantee...

FINRA Investor Alert: Municipal Bonds

(Jun 2009)

Municipal Bonds-Staying on the Safe Side of the Street in Rough Times

The Financial Industry Regulatory Authority (FINRA) published an Investor Alert on municipal bonds. This provides a thorough background on municipal bonds and advice on investing.

There are certain risks in investing in municipal bonds. For example, the municipality issuing the municipal bonds can default, leading to the loss of some (if not all) interest and principal to the investor. This is called default risk....

FINRA Investor Alert: Auction Rate Securities

(Nov 2008)

Auction Rate Securities: What Happens When Auctions Fail

The Financial Industry Regulatory Authority (FINRA) published an Investor Alert on auction rate securities (ARS). This provides quite a thorough background on ARS, their auction mechanism and risks of failure, alternatives to ARS, and redemption and liquidity issues.

ARS are issued widely by institutions ranging from closed-end mutual funds, municipalities to student loan trusts. ARS are long-term floating rate securities whose...

FINRA Investor Alert: Cat Bonds

(Apr 2008)

Catastrophe Bonds and other Event-Linked Securities

The Financial Industry Regulatory Authority (FINRA) published an Investor Alert on catastrophe bonds, or 'cat bonds'. Cat bonds pay higher interest rates compared to the equivalent corporate bonds.

However, there are risks involved in holding cat bonds. Investors of a cat bond can lose interest and principal if the catastrophe, to which the bond is linked, occurs. Cat bonds are quite illiquid, the pricing information are generally not...

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