High-yield debt: Bonds that offer high returns to compensate for the higher risk of default compared to investment-grade bonds.
“Rising stars” are emerging or start-up companies that have not yet achieved the operational history, the size or the administrative centre strength necessary to receive an investment-grade rating. Although start-ups could be risky, credit history agencies consider their insufficient a track record when issuing ratings. So a start-up company that qualifies for a single-B rating…