They are called zombies, companies so laden with debt that they are just stumbling by on the brink of survival, barely able to pay even the interest on their loans and often just a bad business hit away from dying …
Corporate debt insurance that fell out of favor after the financial crisis is returning to vogue as default rates rise and a series of high-profile failures pay off for short sellers. Credit-default swaps trading increased 7% this year, with average …
The Federal Reserve escalated its warnings about the perils ofleveraged loan Monday, saying firms with the worst credit profiles are the ones taking on more and more debt. The Fed also left a question unanswered: Is it going to do …
Bankers, executives and investors are warning Federal Reserve officials behind closed doors that record leveraged lending to companies from lightly-regulated corners of Wall Street could make any economic downturn harder to manage. With the second-longest U.S. expansion in its advanced …
Advantage Insurance of San Juan, Puerto Rico, is no one’s idea of a financial colossus. But this little insurance company is making a giant bet on some of the hottest investments around: collateralized loan obligations. That a company with about …
The European Central Bank has turned government bonds into one of the riskiest asset classes, prompting Swiss Re AG to move more of its investments into corporate debt, according to the reinsurer’s chief investment officer. “If you’re looking for a …
