- Beginning in 2016, Fridson sees the high-yield default rate averaging 8.4% over the following four years - this compares to the long-run average of 4.5% and the current rate of just 2.5%. Putting those numbers in perspective, it means the number of issuers defaulting will be triple that during the 2008-09 crisis, and double the number defaulting in the 5-year surge beginning in 1999.
- For those who have bid up junk bond prices to an average of 103.2 cents on the dollar, the average yield down to 5.8%, and remain focused on interest rate risk instead of credit risk ... you've been warned.
- Related ETFs: HYG, JNK, BKLN, HYS, HYLD, SJNK, PHB, BSJF, SRLN, SJB, SNLN, BSJE, BSJD, IHY, FTSL, ANGL, BSJI, BSJG, HYXU, PGHY, XOVR, UJB, BSJH, QLTC, SHYG, BSJK, BSJJ
Fridson sees surge in high-yield defaults
From other sites
Video at CNBC.com (Oct 22, 2014)
Video at CNBC.com (Oct 21, 2014)
Video at CNBC.com (Aug 15, 2014)
at CNBC.com (Jun 25, 2013)
at CNBC.com (Jun 17, 2013)
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