High-yield Debt Articles from FINANCIOLOGY.COM Free Article Directory

Search our Site:

Bond market
Fixed income
Corporate bond
Government bond
Municipal bond
Bond valuation
High-yield debt

In finance, a high yield bond (non-investment grade bond, speculative grade bond or junk bond) is a bond that is rated below investment grade at the time of purchase. These bonds have a higher risk of default or other adverse credit events, but typically pay higher yields than better quality bonds in order to make them attractive to investors.

Global issue of high yield bonds more than doubled in 2003 to nearly $146 billion in securities issued from less than $63 billion in 2002, although this is still less than the record of $150 billion in 1998. Issue is disproportionately centered in the U.S.A., although issuers in Europe, Asia and South Africa have recently turned to high yield debt in connection with refinancings and acquisitions. In 2006, European companies issued over €31 billion of high yield bonds.^[1]

The holder of any debt is subject to interest rate risk and credit risk, inflationary risk, currency risk, duration risk, convexity risk, repayment of principal risk, streaming income risk, liquidity risk, default risk, maturity risk, reinvestment risk, market risk, political risk, and taxation adjustment risk. Interest rate risk refers to the risk of the market value of a bond changing in value due to changes in the structure or level of interest rates or credit spreads or risk premiums. The credit risk of a high yield bond refers to the probability and probable loss upon a credit event (i.e., the obligor defaults on scheduled payments or files for bankruptcy, or the bond is restructured), or a credit quality change is issued by a rating agency including Fitch, Moody's, or Standard & Poors.

High-yield Debt Subcategories Debt Consolidation > > Bankruptcy > Debt Counseling > Debt Counseling > > High-yield Debt Articles High yield zero deposit leasebacks that pay your mortgage by Nick Dowlatshahi Feb 09, 2008 nick@leapfrog-properties.com. Best regards Nick Dowlatshahi http://www.leapfrog-properties.com High yield zero deposit leasebacks that pay your mortgage For many investors buying leaseback property in France the key attractions ... The Logic of Investing by Damian Papworth Sep 13, 2007 One of the things I have noticed during the 20 years I have spent either actively investing in various strategies, or trialling them, is that the ones which make logical sense usually are the ones which work best in real life. Lets face ... The High Yield Savings Account by Mark Wu Apr 08, 2007 With interest rates at fairly high levels, a good place to keep your money in the short term is a high yield savings account. These accounts, mostly offered by online banks, allow you to stash your money away at high interest or CD rates. Transferrin... Forex Trading - Can Technology Improve Success? by Renee Loh Nov 29, 2006 Forex Trading: Can Technology Improve Success Rate? Forex trader extraordinaire Renee Loh reviews how new technology can help leverage the US Dollar against other major currencies so that investors walk away as winners rather than risk takers... Research key to high-yield investing by Jay Northco Nov 13, 2006 Invest in high risk investments and receive high yields. Invest in low risk stocks or funds and receive lower yields. It is a standard investing maxim. But ‘risk’ is the operative word and there are no guarantees in either class. The key to success i... Should You Invest in a HYIP?: Answers to 4 of the most commonly asked questions. by Timothy Rohrer Sep 03, 2006 Copyright 2006 Timothy Rohrer The occurrence of HYIPs is somewhat new, but have gained popularity at a rapid rate. They have become one of the biggest opportunities to make a lot of money fast, but also one of the internet's biggest scams in re... What are High Yield Investment Programs? by Sergey Kolontay Aug 22, 2006 HYIPs are programs which pool together the funds of their members to take advantage of investment opportunities, like stock trading and foreign exchange (FOREX) trading among others. These HYIPs attract funds from members (known as "deposits"... HYIP: Solid Investment Scamed Their Investors by Domenik Andre Andre Jul 23, 2006 Many people who have their own home business want to make money online with affiliate program but some others invest in HYIPs. Solid Investment, a well... Study: Which High Yield Payouts perform best? by brian berg Jun 04, 2006 With the help of many individuals we were able to conduct our own study on the profitability of different types of HYIPs. This is what we did: We made 4 groups of programs: Type 1 - Low paying (Total of 10%-25% per month) Type 2 - L...