Moody's:Aug Global Spec Grade Default Rate 5.0% V 12.3% Yr Ago | iMarketNews.com
WASHINGTON (MNI) - Moody's said Wednesday that the default rate for global speculative-grade debt fell to 5.0% in August vs. 12.3% a year ago, while it was 5.1% in the U.S. and down to 4.:
The trailing 12-month global speculative-grade default rate fell from 5.5% in July to 5.0% in August, said Moody's Investors Service in its latest default report. A year ago, the global speculative-grade default rate stood at 12.3%.
The ratings agency's default rate forecasting model now predicts that the global speculative-grade default rate will fall to 2.7% by the end of this year and then edge lower to 2.0% a year from now. ...
iMarketNews.com Moody's:Aug Global Spec Grade Default Rate 5.0% V 12.3% Yr Ago
Bloomberg Default Rate Will Fall to 2% Next Year, Moody’s Says
Showing posts with label Default rate. Show all posts
Showing posts with label Default rate. Show all posts
Wednesday, September 8, 2010
Wednesday, August 18, 2010
(EUR) ELLI default rate falls to 17-month low - Leveraged Commentary & Data
(EUR) ELLI default rate falls to 17-month low - Leveraged Commentary & Data
The lagging 12-month default rate for the S&P European Leveraged Loan Index (ELLI) fell to 5.9% in July, a 17-month low, from 6.2% in June, based upon par amount outstanding. At the end of 2009, the rate stood at 10.5%, the highest level since LCD started tracking the ELLI default rate in June 2007.
In the 12 months ended July 29, the ELLI tracked €8.2 billion of institutional loan defaults, down from €8.7 billion at the end of the June and €14.9 billion during 2009.
The ELLI default rate measured by number of issuers remained unchanged in July, at 8.9%, the lowest level since the 8.2% reading in February 2009. During the 12-months ended July 29, 21 issuers defaulted or started the restructuring process, which is equal to the comparable time period ended July 1. At the end of December, the tally was 39. ...
The lagging 12-month default rate for the S&P European Leveraged Loan Index (ELLI) fell to 5.9% in July, a 17-month low, from 6.2% in June, based upon par amount outstanding. At the end of 2009, the rate stood at 10.5%, the highest level since LCD started tracking the ELLI default rate in June 2007.
In the 12 months ended July 29, the ELLI tracked €8.2 billion of institutional loan defaults, down from €8.7 billion at the end of the June and €14.9 billion during 2009.
The ELLI default rate measured by number of issuers remained unchanged in July, at 8.9%, the lowest level since the 8.2% reading in February 2009. During the 12-months ended July 29, 21 issuers defaulted or started the restructuring process, which is equal to the comparable time period ended July 1. At the end of December, the tally was 39. ...
Friday, July 16, 2010
Default Rate May Rise as Company Finances Weaken in Europe, Moody's Says
Default Rate May Rise as Company Finances Weaken in Europe, Moody's Says
The default-rate on high-yield companies in Europe may start rising, reversing a near-term trend of increased stability and improving industry outlooks, according to Moody’s Investors Service.
The European speculative-grade default rate declined to 5.8 percent at the end of June, Moody’s said. The New York-based firm expects the rate to fall to 1.4 percent by the end of the year, it said in a report today.
The default rate “will rise again as some more weakly positioned credits struggle to refinance without material debt restructuring and writedowns,” analyst Chetan Modi said in the report today. ...
The default-rate on high-yield companies in Europe may start rising, reversing a near-term trend of increased stability and improving industry outlooks, according to Moody’s Investors Service.
The European speculative-grade default rate declined to 5.8 percent at the end of June, Moody’s said. The New York-based firm expects the rate to fall to 1.4 percent by the end of the year, it said in a report today.
The default rate “will rise again as some more weakly positioned credits struggle to refinance without material debt restructuring and writedowns,” analyst Chetan Modi said in the report today. ...
Thursday, July 8, 2010
Moody's: European default rate falls to 5.8% - MarketWatch
Moody's: European default rate falls to 5.8% - MarketWatch
By Sue Chang
SAN FRANCISCO (MarketWatch) -- The European speculative-grade default rate fell to 5.8% in the second quarter from 7.3% in the first quarter, Moody's Investors Service said Thursday in a report. The rate was 7.4% at this time last year. Globally, the trailing 12-month global speculative-grade default rate slid to 6.1% from 10% in the previous quarter. Moody's expects the global speculative-grade default rate to fall to 2.4% by the end of this year, and then ease further to 1.8% by the second quarter of 2011, based on its default rate forecasting model.
MarketWatch Moody's: European default rate falls to 5.8%
Reuters Global junk default rate to fall below 2 pct-Moody's
By Sue Chang
SAN FRANCISCO (MarketWatch) -- The European speculative-grade default rate fell to 5.8% in the second quarter from 7.3% in the first quarter, Moody's Investors Service said Thursday in a report. The rate was 7.4% at this time last year. Globally, the trailing 12-month global speculative-grade default rate slid to 6.1% from 10% in the previous quarter. Moody's expects the global speculative-grade default rate to fall to 2.4% by the end of this year, and then ease further to 1.8% by the second quarter of 2011, based on its default rate forecasting model.
MarketWatch Moody's: European default rate falls to 5.8%
Reuters Global junk default rate to fall below 2 pct-Moody's
Friday, April 30, 2010
Buybacks, Tenders and Exchanges – A Distortion of the Default Rate
Buybacks, Tenders and Exchanges – A Distortion of the Default Rate
In the world of corporate bonds, the yield spread over the sovereign benchmark reflects the liquidity premium and, more importantly, investors’ compensation for default risk. Accurate measurement of default risk is critical in determining the required risk premium on bonds. But the official default rate, which is measured and published by rating agencies, can be subject to distortions because certain capital losses, corporate buybacks, tenders and exchanges may not be accurately represented in the default rate calculations. In a macroeconomic environment likely to be characterized by greater performance differentiation among credit markets, sectors and issuers, paying closer attention to these potential distortions will prove invaluable to the credit selection process. ...
In the world of corporate bonds, the yield spread over the sovereign benchmark reflects the liquidity premium and, more importantly, investors’ compensation for default risk. Accurate measurement of default risk is critical in determining the required risk premium on bonds. But the official default rate, which is measured and published by rating agencies, can be subject to distortions because certain capital losses, corporate buybacks, tenders and exchanges may not be accurately represented in the default rate calculations. In a macroeconomic environment likely to be characterized by greater performance differentiation among credit markets, sectors and issuers, paying closer attention to these potential distortions will prove invaluable to the credit selection process. ...
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