Fixed-Income Readings

READING 2: "Understanding Aggregate Default Rates of High Yield Bonds (Available Online)," Jean Helwege and Paul Kleiman, Current Issues in Economics and Finance, Federal Reserve Bank of New York (May 1996), pp. 1-6. This reading presents a summary of previous research on predicting high-yield default rates. It uses refined proxies (relative to past work) for credit ratings, the macroeconomy ... ................
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