Investing in Distressed Debt
Distressed securities may be an attractive investment option for sophisticated investors who are looking for a bargain and are willing to accept some risk. Distressed debt investing combines the best of both worlds — the cash flow of debt investments with the appreciation potential of stocks. While there is no hard and fast rule for what makes a “distressed” investment, it’s generally accepted that distressed debt trades at a huge discount to par value because the borrower is under financial stress and at risk of default. Distressed securities are debt securities; most often corporate bonds, of companies that are in some sort of distress.
If you enjoy Bonds and Stock news and information Bonds1.net is for you. We provide multiple live news feeds, focusing on the core fundamentals of the companies. We’re working hard to provide a simple and robust service displaying many of the leading aggregated news retrievals, giving you the widest sections of news sources on a single company and page that we could identify. Based on our multiple information sources on a single company and page, that’s fast, fresh, transparent while also providing significant in-depth company information making Bonds1.net one of best locations for you daily reviews, helping you to become far better informed with your Stock and especially your Bond knowledge.
Thank you for coming and please share our service with your friends!
This service is free, and you will find many additional companies updates, simply by clicking the below stock symbols:
Α AA, AAPL, ABBV, ABCD, ABX, ACCO, ACI, ACHC, ACT, ACW, ADM, ADT, AEE, AEP, AES, AET, AFL, AIG, AKS, AL, ALGT, ALL, ALLY, AMD, AMKR, AMP, AMT, AMZN, ANR, AON, APA, APC, APD, APSA, APU, AR, ARCC, AREX, ARG, ARI, ASBC, ATLS, ATW, AU, AVHI, AVP, AVT, AVY, AXP, AZO, B BA, BAC, BAS, BAX, BBEP, BBG, BBT, BC, BCEI, BCOR, BCR, BCS, BDX, BG, BGG, BHI, BIOS, BHP, BK, BLK, BLL, BMO, BMR, BMY, BNS, BONT, BP, BPOP, BRK-A, BSX, BT, BTU, BUD, BVWN, BWA, BZH C C, CACC, CAG, CAH, CAR, CAS, CAT, CBT, CCE, CCL, CCO, CDE, CENT, CHD, CHK, CI, CIE, CIT, CKEC, CKH, CL, CLD, CLI, CLF, CLMT, CM, CMA, CMC, CMCSA, CMI, CMLP, CMLS, CMS, CNA, CNHI, CNI, CNK, CNP, CNQ, CNX, COF, COL, COST, CPB, CPT, CRH, CRK, CRM, CRZO, CS, CSC, CSX, CTAS, CTB, CTL, CWSI, CVC ,CVGI, CVO, CWEI, CWST, CWT, CXDC, CYH, CZR, D D, DB, DD, DDR, DDS, DE, DEO, DF, DOV, DGX, DHI, DIS, DISH, DLNG, DLX, DNR, DOW, DPS, DTV, DUK, DXM, E EAC, EAT, EBAY, ECA, ECL, ED, EGN, ELNK, EMR, EMN, ENH, EOG, EPD, EPT, EQR, EROC, ETM, ETN, ETR, EXC, EXLP, EXXI, F F, FCX, FDC, FDX, FES, FET, FHN, FIBT, FLIR, FISV, FLY, FGP, FST, FTR, G GCI, GE, GFIL, GEL, GIS, GLDD, GLF, GLW, GM, GMT, GNW, GOL, GOOG, GPOR, GS, GSK, GST, GTI, GY, H HAL, HBM, HCA, HCHC, HCN, HCP, HD, HELI, HES, HIG, HL, HLT, HLS, HOLX, HON, HOV, HPQ, HRG, HSC, HST, HSY, HTZ, HUM, HUN, HW, I IAG, IBM, IEP, IFF, IGT, INTC, INTU, IO, IOC, IP, IPG, ISLE, IX, J JBHT, JBL, JCI, JCP, JNJ, JNY, JOY, JPM, JNW, K K, KALU, KBH, KEM, KEY, KEG, KMB, KO, KOP, KR, KRFT, KSS, KTOS, L L, LAYN, LB, LEAF, LEG, LEN, LGCY, LH, LIFE, LINE, LLY, LMIA, LMT, LNC, LOW, LORL, LPI, LPX, LVLT, LVS, LXK, LXU, M M, MAR, MAS, MAT, MCD, MCK, MCP, MDC, MDT, MEMP, MET, MGM, MGT, MHK, MHO, MHR, MKC, MKL, MLM, MMC, MMM, MNI, MO, MON, MPC, MRK, MRO, MS, MSFT, MSI, MT, MTH, MTOR, MUR, MWV, N NAV, NBR, NCR, NE, NEE, NEEB, NEM, NEP, NFX, NG, NGR, NI, NKE, NLY, NM, NOC, NOG, NOR, NSC, NSM, NTK, NU, NUE, NVS, NWL, NWN, NYT, O O, OAS, OC, OCR, OHI, OI, OKE, OLN, OMC, OMN, ORCL, ORI, OSK, OUTR, OXY, P PAA, PBH, PBI, PRB, PCAR, PCG, PCL, PCP, PDLI, PDS, PEG, PEP, PERY, PES, PFE, PFG, PG, PH, PHG, PHH, PHII, PHM, PKD, PKG, PLD, PMT, PNC, PNR, POM, POR, POT, PPG, PPL, PQ, PRGO, PRI, PRU, PSEC, PSX, PVA, PX, PXD, R R, RAD, RAI, RBS, RCI, RCII, RCL, RDC, RDEN, RDN, RDS-A, REG, REN, REXX, RF, RGA, RGC, RIG, RIO.L, RFJ, RKT, ROK, ROP, RPG, RRD, RS, RSG, RWT, RTH, RY, RYI, RYL, S S, SAEX, SAH, SBAC, SC, SCCO, SCHW, SCI, SCTY, SD, SEM, SEMI, SERV, SFY, SGY, SHLD, SHW, SIRI, SLB, SLM, SM, SN, SNA, SNI, SNY, SO, SON, SPF, SPG, SRE, SSE, STAR, STI, STJ, STR, STT SU, SUN, SVU, SXL, SYK, SYMC, T T, TC, TCK, TD, TDG, TEL, TEN, TEVA, TFX, TGA, TGB, TGI, TGT, THC, TITN, TJX, TKR, TM, TMK, TMO, TMUS, TPC, TOL, TOO, TRI, TEOX, TROX, TRP, TRV, TSN, TTMI, TWI, TXN, TXT, U UAL, UIS, UN, UNH, UNP, UNM, UPS, URI, USB, USCR ,USG, UTX, V VAL, VAST, VFC, VIA, VLO, VMC, VNR, VOD, VRS, VTR, VZ, W WAL, WBK, WES, WFC, WFT, WGL, WHR, WIN, WLH, WLL, WLT, WMB, WMT, WPX, WR, WRE, WRES, WRB, WSH, WTI, WU, WY, WYNN, XYZ X, XCO, XOM, XYL, XRAY, XRX, Y, YPF, YNDX, YUM, ZAYO, ZION, ZINC, ZQK ZTS.
Municipal State Bonds
AL, AK, AZ, AR, CA, CO, CT, DE, FL, GA, HI, ID, IL, IN, IA, KS, KY, LA, ME,
MD, MA, MI, MN, MS, MO, MT, NE, NV, NH, NJ, NM, NY, NC, ND, OH, OK,
OR, PA, RI, SC, SD, TN, TX, UH, VT, VA, WA, WV, WI, WY, and Puerto Rico
Asian Bonds Australian Bonds Commonwealth Bonds Corporate Bonds
European Bonds North American Bonds South American Bonds Yankee Bonds
CanWel Building Materials Group Ltd Bonds
CM – Canadian Imperial Bank of Commerce Bonds
CNI – Canadian National Railway Company Bonds
CNQ – Canadian Natural Resources Limited Bonds
Data Group Ltd Bonds
5N Plus Inc Bonds
HBM – HudBay Minerals, Inc Bonds
IAG – IAMGOLD Corp Bonds
Lake Shore Gold Corp Bonds
TGA – TransGlobe Energy Corporation Bond
Presented below is a summary of the 30 bond reviews and recommendations that we have given to our clients over the past twelve months, from the end of October, 2013 through the start of November, 2014. Twenty three of these global corporate debt instruments were Yankee Bonds (foreign corporation debt denominated in US dollars), and seven were issued in other currencies, including, Canadian dollars, Australian dollars, Brazilian reals, and British Pound Sterling.
Each summary that follows lists the issuer, coupon rate, maturity, credit rating, the yields at the time of acquisition, the portfolio (FX1, FX2, or FX3) each was added to, as well as a brief update of the issuer. Many of the companies hold dominant positions within their respective countries. It is not uncommon, however, to find credit ratings that are constrained by a national sovereign credit rating.
· 23 US dollar debt additions, with average indications of 9.84%*, made to FX1.
· 30 mixed currency debt additions, averaging 9.63%*, were made to FX2.
· 7 foreign currency debt additions, averaging 8.96%*, were made to FX3.
Presented below is a summary of the 26 bond recommendations that we have made to our clients over the last 12 months, from June 2013 through May 2014. The yields shown below are when these securities were added to our FX1,FX2, and/or FX3 Fixed Income portfolios, and they average 9.81%.
Nineteen of these global corporate debt instruments were Yankee bonds (foreign corporation debt denominated in US dollars), with nine in other currencies, including Canadian dollars, Swedish krona, Brazilian real, and Russian rubles.
Each summary that follows lists the issuer, coupon rate, maturity, credit rating, the yields obtained at the time of acquisition, the portfolio (FX1, F2, or FX3) each was added to, as well as the business sector and a brief recap of the reason for its selection. Many of the companies hold prominent or even dominant positions within their respective countries. It is not uncommon, however, to find credit ratings that are constrained by a national sovereign credit rating.
- 19 US dollar debt additions, averaging 10.25% yield, were made to FX1.
- 26 Mixed currency debt additions, averaging 9.81% yield, were made to FX2.
- 7 Foreign currency debt additions, averaging 8.61% yield, were made to FX3.
Presented below is a summary of the 15 bonds that we have researched, recommended in reviews sent to our clients, and then published on Bond-Yields.com for the last 6 months.
In the last half year, the yields indicated when these securities were initially added to our FX1, FX2, and/or FX3 Fixed Income portfolios have averaged 9.68%. Thirteen of these global corporate debt instruments were Yankee bonds (foreign corporation debt denominated in US dollars), one was in Swedish krona, and one was in Canadian dollars. Each paragraph details the coupon rate, maturity, CUSIP, credit rating, and the yields obtained at the time of acquisition for the FX1, FX2, or FX3 portfolios, as well as giving the business sector and a brief recap of the reason for its selection. Many of the companies hold prominent, dominant, or even monopolistic positioning within their respective countries, and it is not uncommon to find credit ratings that are constrained by a national sovereign credit rating. The following breakdown indicates which portfolio each issue was added to:
14 US dollar notes, averaging 9.9% yield, were added to FX1
16 mixed currency notes (87.5% were USD), averaging 9.68% yield, were added to FX2
2 foreign currency notes, averaging 8.1% yield, were added to FX3
Each week we screen thousands of corporate bond listings to find what we believe are currently the best corporate bonds for investors needing or seeking higher yields with the least amount of risk possible relative to its projected return. This week, we focused on 4 1/4 year Yankee bonds (in US dollars) from Rolta LLC, a leading Internet Technology and Intellectual Property firm in India. Although the nearly 11% yields currently indicated with this bond that carries only a -BB rating from Standard & Poor’s and Fitch, the following review shows why we see these 52 month high yield notes as a savvy means to both increase cash flow and preserve wealth. We also believe this debt instrument offers unique diversification into the emerging Indian economy, and that it makes a sound addition to two of our client’s high yielding managed income portfolios, Fixed-Income1.com and Fixed-Income2.com. More »
This week we look at a lesser known preferred stock issued by SandRidge Energy (SD) for our fixed income clients which is currently indicating an annual yield that is over 8.25%. With this instrument’s convertibility feature allowing for the possibility of adding even greater long term capital gains into its total return potential, our investigation into the recently improved operations of this company leads us to believe that this may be a rare and unusual opportunity to achieve higher US dollar dividend yields in the very profitable energy sector. Although this selection is not specifically targeted for addition to our FX1, FX2 or FX3 Fixed Income portfolios, we see its 8.5% qualified (lower tax rate) dividend as an extra bonus on top of a cash payout already high enough to be an easily welcomed addition in most fixed incomers stable of investments. Therefore we are identifying these SandRidge Preferred Securities as a Special Opportunity Buy.
Each week we strive to find what we believe are currently the best corporate bonds for investors needing or seeking good cash flow and high yields with the least amount of risk possible relative to the projected returns. This week, we look at short 3¼ year Yankee bonds (in US dollars) from Camposol, the leading agro industrial company in Peru, the largest exporter of asparagus in the world, and soon to be the leading producer of avocados in the planet. Although the approximately 8.45% yields currently indicated with this bond only carries a B rating from Standard & Poor’s, the following review shows why we see these 39 month high yield notes are a good choice to both increase cash flow and preserve capital. We also believe this debt instrument offers sound diversification away from the financial services sector of the global economy. Consequently, we think these bonds are a savvy choice for two of our high yield managed income portfolios, Fixed-Income1.com and Fixed-Income2.com. More »