junk bond
33
7.0
- noun
- /dʒʌŋk bɑnd/
- Specialized
:
bono basura
- And we came to the conclusion that the most creditworthy of the tradable junk bonds that were out there was RJR.
- invest in junk bonds
- buy junk bonds
- high-yield junk bonds
Chinese junk bond yields have been soaring over the last few months.
- Chinese junk bond yields have been soaring over the last few months.
- And at first I looked at those companies from a bond perspective, junk bonds, high yield bonds and then equities stocks.
- The emergence of junk bonds on Wall Street meant that these Raiders could finance the purchase with borrowed money.
- Basically, they're selling junk bonds at a high price to the German people.
- OK, when you start front running a recession and buying junk bonds, you now become lender of first resort.
Examples
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We'll see a serious focus on equities and junk bonds next.
Blog text (25) -
He put the city's fiscal house in order, rescuing it from near junk-bond status.
Academic text (2002) -
I was in the junk bond business for twenty years; I know of what I speak.
Blog text (8) -
My question is, how do you buy sugar and short the junk bonds?
Blog text (6) -
I bought an insane amount of junk bonds in the last four years.
Blog text (16) -
I disagree with the idea that they could have raised this with junk bonds.
Blog text (33) -
We have things called junk bonds, high yield bonds.
-
Chinese junk bond yields have been soaring over the last few months.
-
The emergence of junk bonds on Wall Street meant that these Raiders could finance the purchase with borrowed money.
-
Investors were cautious about purchasing junk bonds due to their low credit ratings and high risk of default.
Synonyms
1
6.3
A loan to a company that pays high interest because it has high risk
How Risky
- Specialized
33
7.0
- Specialized
14
2.7
Surface Forms
Morphology
Combining 'junk' (worthless, low quality) with 'bond' (a debt instrument) readily yields the sense of a low-quality or risky bond, so a B1 learner who knows the constituents can infer the basic idea. However, the term encodes technical financial specifics (credit-rating thresholds, high-yield/ high-risk tradeoffs) that are not fully predictable from the words alone, making it only partly transparent.
Etymology
Junk bond comes from the image of the word junk, meaning 'trash', attached to bond, a company loan. So junk bonds are loans with a 'low rating' that are 'risky' but pay a higher 'return'.