Junk Bond



Next video:
Loading the player...

Find out more about these bonds that have a high risk of default.

Related Articles
  1. Managing Wealth

    Junk Bonds in Stressed Market Conditions

    In stressed market conditions, particularly in economic recessions, junk bonds should be examined and monitored with additional prudence.
  2. Managing Wealth

    High Yield Bond Investing 101

    Taking on high-yield bond investments requires a thorough investigation. Here are looking the fundamentals.
  3. Markets

    Junk Bonds’ Performance After the Financial Crisis

    How did higher-yielding bonds perform during and after the financial crisis of 2007-2009?
  4. Markets

    9 Junk Bond ETFs You Should Eye Right Now (HYG, JNK)

    Volatility aside, there’s still some value left in high yield bonds. Pending rate increases shouldn’t effect junk as gravely as investors fear.
  5. Personal Finance

    Understanding Default Risk

    Default risk is the chance that companies or individuals will be unable to pay their debts.
  6. Markets

    Investment Grade Vs. Junk Bonds: Which for 2016?

    Understand why investors are fleeing junk bonds amid global economic uncertainty, and learn why investment-grade bonds might be a better choice in 2016.
  7. ETFs & Mutual Funds

    2 ETFs That Will Hurt From Rising Default Rates (HYG, JNK)

    Learn about two high-yield bond ETFs that could be adversely affected if the trend of increasing corporate default rates continues.
  8. Financial Advisor

    Junk Bonds: Why You Should Pass Right Now

    Why you should probably wait on allocating to junk bonds right now.
  9. Markets

    The History of High Yield Bond Meltdowns

    The high yield bond market experienced its major growth streak in the 1970s and 1980s and had several noteworthy meltdowns between then and now.
  10. ETFs & Mutual Funds

    High-Yield Bond ETFs: 3 Reasons to Avoid Them

    Examine high-yield bond performance in 2016. Why do rising default rates, falling recovery rates and Fed rate hikes make these securities worth avoiding?
Hot Definitions
  1. Frexit

    Frexit – short for "French exit" – is a French spinoff of the term Brexit, which emerged when the United Kingdom voted to ...
  2. AAA

    The highest possible rating assigned to the bonds of an issuer by credit rating agencies. An issuer that is rated AAA has ...
  3. GBP

    The abbreviation for the British pound sterling, the official currency of the United Kingdom, the British Overseas Territories ...
  4. Diversification

    A risk management technique that mixes a wide variety of investments within a portfolio. The rationale behind this technique ...
  5. European Union - EU

    A group of European countries that participates in the world economy as one economic unit and operates under one official ...
  6. Sell-Off

    The rapid selling of securities, such as stocks, bonds and commodities. The increase in supply leads to a decline in the ...
Trading Center