On September 30, 2009, the Merrill Lynch High Yield Master II Index contained bonds of 854 different companies. Over the next 12 months, 25 of those companies defaulted, equivalent to a default rate of 2.93%, considerably below the 4.8% average rate reported by Moody’s since 1983.
Given the US economy’s continuing difficulties, the below-average default rate has surprised many investors. They might have found the answer to another question even more surprising: how many of the 25 defaulting comp
The week on Risk.net, July 7-13, 2018Receive this by email