Yield interest rates, impact

The change in the short rate will result in a 50-basis point decline in all the expected future interest rates. However, this will not result in a uniform fall in all bond yields. The impact on the zero-coupon curve and the forward rate curve is shown in Figure 7.4. 

To assess the impact of changing yield spreads therefore, it is necessary to carry out a simulation on the effect of different yield curve assumptions. For instance, we may wish to analyse 1-year holding period returns on a portfolio of investment-grade corporate bonds, under an assumption of widening yield spreads. This might be an analysis of the effect on portfolio returns if the yield spread for triple-B-rated bonds widened by 20 basis points, in conjunction with a varying government bond yield. This requires an assessment of a different number of scenarios, in order to capture this interest-rate uncertainty. 

From the discussion in chapter we are aware that there are range of factors that impact on the shape and level of the yield curve. A combination of economic and non-economic factors are involved. A key factor is investor expectations, with respect to the level of inflation, and the level of real interest rates in the future. In the real world the market does not assume that either of these two factors is constant, however given that there is a high level uncertainty over anything longer than the short-term, generally there is an assumption about both inflation and interest rates to move towards some form of equilibrium in the long-term. 

Since desorption yields are strongly dependent on the energy of the incident particle, it is necessary to compare data with incident particle energies that are similar to those expected in the particle outflux from the plasma. Only limited data are available for desorption rates of interest to Tokamak operations. Ion impact desorption data have been obtained by McCracken107) using 5.6 keV D+. 

Radiative rates For most transition metal complexes in solution, emission quantum yields are small, thus radiative decay is only a minor component of the overall deactivation mechanism. Limited studies show pressure effects on kr to be small, a few percent over the hydrostatic pressure ranges of principal interest here and these effects can largely be attributed to solvent perturbations [15, 16]. The relatively small values of kr for most lurainactive metal complexes in fluid solutions, suggest that such modest changes will not have much impact on interpretations of pressure effects on lifetimes or quantum yields. 

Issues are initially priced and sold at a fixed spread over the reference rate. The price of an FRN can fluctuate considerably during the life of the issue, mainly depending on trends in the issuer s credit quality. The frequent resets in the reference rate means that changes in market interest levels have a minimal impact on an FRN s price. For investors, movements in an FRN s price are reflected in changes in the discount rate. The discount rate is effectively the yield needed to discount the future cash flows on the security to its current price. It thus functions in the same way as the yield to maturity for a fixed-rate instrument. And like a fixed-rate bond, the market convention is to use a constant spread... 

The particle size distribution (PSD) significantly impacts the reactant conversion in a fluidized bed reactor. Sun and Grace (1990) examined the three different particle size distributions, wide, narrow, and bimodal, on the performance of a catalytic fluidized bed reactor using the ozone decomposition reaction. They found that a fluidized bed with particles of wide size distribution yields the highest reactant conversion. Of further interest, the property of particle entrainment and elu-triation is a function of particle size, density, and shape. Both entrainment and elutriation rates increase... 

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