Stock and bond markets were choppy in the first quarter. Moreover the convertibles market reacted negatively when rating agencies cited GM for its deteriorating credit. The spread between high-yield and high-grade corporate bonds of comparable maturities widened significantly. Weak stock performance and widening credit spreads were detrimental to convertible bonds in the first half of the year.
Although convertibles experienced a correction, we did not believ
The week on Risk.net, July 7-13, 2018Receive this by email