Use "downgrading" in a sentence
downgrading example sentences
downgrading
1. The Marine Corps, like the Army and Navy, has been hit hard in the last three years by massive demobilization and downgrading of its units
2. Downgrading the real knowledge
3. “love” between male & female was conjured up to facilitate this male need & to salve females’ conscience for downgrading her primary role, child-bearing/nurturing/loving
4. It is not governmental but a private institution and I smile whenever I hear of student and professors" strikes in Greece against permitting private institutions to operate in the country for fear of downgrading the sky-high standards of Greek universities!!!
5. A belief in the primacy of the income account and a consequent downgrading of balance sheet–related elements
6. An overemphasis on top-down factors and a consequent downgrading of bottom-up considerations
7. Where did the remaining 102 bp go? About 20 bp of the “missed” return can be explained by the 75 bp spread widening, the rest by default and downgrading biases and by index investors’ poor selling patterns described in Chapter 10
8. However, spreads overstate this advantage due to expected losses from default or downgrading losses, and due to embedded options
9. Academic and practitioner literature in the 1980s and 1990s focused on single-issuer credit risk (default probability, recovery value, and maybe also downgrading events), either based on structural models or on reduced-form models
10. However, returns on the Ibbotson corporate series are calculated from yields, with no allowance for defaults and/or downgrading
11. However, for active investors, downgrading bias and trading activity due to index changes, discussed in detail below, can further reduce expected returns
12. Other factors may also need to be taken into account: The market cap weighting of indices could explain some of the gap between ex ante and ex post credit premia if average losses from default and downgrading are not similarly cap weighted
13. Back to my original question: “Why such low ex post credit premia?” I wonder whether the highly visible ex ante yield advantage has outweighed much less visible negatives (embedded options, downgrading bias, agency problems, lower liquidity, bad timing of losses) in investors’ minds and made credits a structurally overpriced asset class
14. The OAS ignores, on one hand, expected capital losses due to downgrading bias and defaults and, on the other hand, expected gains or losses from rolling along the credit spread curve
15. The yield spread over Treasuries for straight corporate bonds or the OAS for bonds with embedded options reflects (1) the break-even spread needed to offset expected capital losses from defaults and the downgrading bias, and (2) the true risk premium, consisting of the excess return required mainly to compensate for default risk and illiquidity
16. Adjusting for the recovery rate (but ignoring downgrading bias or rolling down the spread curve), and apportioning the losses evenly across years, gives us the break-even yield spreads that would have exactly offset the default losses