REVISITING THE HIGH YIELD BOND MARKET: MATURE BUT NEVER DULL
Ten years ago the author of this article wrote a piece for this journal reviewing the history of the "junk" bond market from its start in the mid-1970s through the collapse of the leveraged restructuring movement at the end of the 1980s. In the summer of 1990, the high yield market was at a critical point in its development. With defaults high and still rising, the yield spreads over Treasuries of junk bonds had jumped to over 700 basis points and the new issue market had all but dried up. Drexel Burnham Lambert had recently filed for Chapter 11, and Michael Milken had been indicted. At that time, when many market observers were pronouncing the junk bond market "finished," the author of this article said that the market performed a valuable economic function and, despite investor losses, would weather the crisis. 2000 Morgan Stanley.
Year of publication: |
2000
|
---|---|
Authors: | Altman, Edward I. |
Published in: |
Journal of Applied Corporate Finance. - Morgan Stanley, ISSN 1078-1196. - Vol. 13.2000, 1, p. 64-74
|
Publisher: |
Morgan Stanley |
Saved in:
freely available
Saved in favorites
Similar items by person
-
Altman, Edward I., (2018)
-
Sovereign Default Risk Assessment From The Bottom-Up
Altman, Edward I., (2010)
-
Revisiting SME default predictors: The Omega Score
Altman, Edward I., (2022)
- More ...