What is benchmark in unit trust fact sheet?
Answers: Benchmark is sort of like a yardstick in which to judge to the performance of the unit trust. For example, if the unit trust is a global balanced fund, the benchmark could be a composite of 50% on MSCI and 50% on global bond index. Some unit trusts are very focused and therefore the benchmark should also be a sector specific index (if it is available). However, there may be cases where the benchmark is not well selected (that is not well representing the market) and the performance of the fund turned out to look better than what it actually is.
Which is more realistically lucrative in today's market, bonds or preferred stock?
Answers: For relative lucrativity I would have to say preferred stocks but neither are going to make you rich.
In general preferred pay a higher dividend than bonds pay interest. About 6 to 8% vs about 4 to 6% for bonds. Besides the higher payment there is also the tax advantage of most preferred over bonds, which tends to make the after tax yield even greater. All preferred do not however have a tax advantage so you do have to be careful in your selection. But one advantage of bonds over preferreds is that eventually you will get the bonds redeemed maybe. Preferred may never be redeemed. Also if the company goes belly up, bond holders may recover something after 5 or 15 years. Preferred holders most likely will not.
If I buy a appointment on a commodity choice, is it possible that I could gain locked contained by and not know how to profit?
Is it possible to be locked in to a marketplace with no course out because nobody will buy your sell to close position? I realize it adjectives looks real moral on paper! But what more or less in authentic life?Answers: First, I assume you be going to "If I buy a call on a commodity adjectives ..." since there are no option on options.
If the selection is out of the money, it is possible there will not be any bids for it, mainly close to expiration.
If the option is surrounded by the money, you don't need to verbs any more than you would have to verbs about selling $1.00 bills for $0.95 respectively. Anything that has intrinsic convenience can be always be sold for slightly lower than its intrinsic value. Professional traders do not turn down risk-free profits.
You cannot be locked out of earn a profit. At the same time, you can be assured you will with the sole purpose lose the amount you paid for the beckon.
Related to your Q, here's what I learned give or take a few Calls & Puts:
NEVER, EVER be in an preference where your interest is at or greater than 10% of the Open Interest.
You'll notice when a different month's option chains are displayed, masses if not adjectives the options within that new month are "0". To determine what the possible amenable interest may be for a strike price in that untried month, look at same strike price for the front month and the month after the new month. This will make a contribution you a pretty good conception what the open interest might be surrounded by that new month.
Thanks for asking your Q! I enjoy answering it!
VTY,
Ron Berue
Yes, that is my genuine last christen!