The Latest News:
- Default rates in European junk bonds were at 1.6% in December, whereas U.S. junk bond default rates were 2.3%. [Thriving European Junk Market Could Lift These ETFs]
- Speculative grade European debt markets saw a 0.2% decline last month, the first period of negative returns since the end of December, reports John Glover for Bloomberg.
- Nevertheless, European junk debt provided an attractive 6.6% yield as of the end of last month.
- European lenders issued about $16.5 billion of securities that comply with new regulations governing capital requirements.
- Mark Holman, chief executive officer of TwentyFour Asset Management LLP, predicts issuance this year will “easily” hit 50 billion euros, or $69 billion.
SPDR International High Yield Bond ETF
Source: Yahoo! Finance
For past stories in this series, visit our ETF Spotlight category.
Max Chen contributed to this article.