Fallen Angel

Filed Under » , , ,
Dictionary Says

Definition of 'Fallen Angel'

1. A bond that was once investment grade but has since been reduced to junk bond status.

2. A stock that has fallen substantially from its all time highs.
Investopedia Says

Investopedia explains 'Fallen Angel'

There is a fine line between fallen angels that are value stocks and those that are headed straight towards bankruptcy.

Related Definitions

  •

    Bond Rating

    A grade given to bonds that indicates their credit quality. Private independent rating services such as Standard & Poor's, Moody's and Fitch provide these evaluations of a bond issuer's ...
    Read More »

  • Correction

    A reverse movement, usually negative, of at least 10% in a stock, bond, commodity or index. Corrections are generally temporary price declines, interrupting an uptrend in the market or ...
    Read More »

  • Falling Knife

    A slang phrase for a security or industry in which the current price or value has dropped significantly in a short period of time. A falling knife security can rebound, or it can lose ...
    Read More »

    • Investment Grade

      A rating that indicates that a municipal or corporate bond has a relatively low risk of default. Bond rating firms, such as Standard & Poor's, use different designations consisting of ...
      Read More »

    • Value Stock

      A stock that tends to trade at a lower price relative to it's fundamentals (i.e. dividends, earnings, sales, etc.) and thus considered undervalued by a value investor. Common ...
      Read More »

    • Cult Stock

      A classification describing stocks that have a sizable investor following, despite the fact that the underlying company has somewhat insignificant fundamentals. Typically, investors are ...
      Read More »

    • Overstay

      The act of holding an investment for too long. It often occurs when traders attempt to time the market by identifying the end of a price trend and the beginning of a new one, but, due to ...
      Read More »

    • Angel Bond

      Investment-grade bonds that pay a lower interest rate because of the issuing company's high credit rating. Angel bonds are the opposite of fallen angels, which are bonds that have been ...
      Read More »

    • Archangel

      An angel investor who has invested in a number of ventures that have achieved fame and fortune as commercial successes. An angel investor with this degree of success may also be referred ...
      Read More »

Articles Of Interest

Sponsored links
Hot Definitions
Partner Links
Suggested Definitions