Recovery of High Yield Bond Losses During the 2020 Market Crash
The securities attorneys at the Morgan & Morgan Business Trial Group are investigating investment losses in high-yield bond funds.
High-yield bonds – sometimes called junk bonds – are bonds that pay higher interest rates than investment-grade bonds. This is because junk bonds have lower credit ratings than investment-grade bonds, and are more likely to default.
A bond rated below BBB- by S&P (or below Baa3 by Moody’s) is considered speculative, and investors will demand higher interest rates because of the higher default risk.
In addition to the higher default risk, high-yield bond prices have historically experienced higher volatility than investment-grade bonds. That certainly has been true for much of 2020.
If you have experienced large losses in a high-yield bond fund, or a junk bond investment, the securities attorneys at the Business Trial Group are here to help.
The Morgan and Morgan Business Trial Group is part of the largest contingency law firm in the nation, with more than 700 lawyers and offices nationwide. We have helped investors recover investment losses totaling tens of millions of dollars. We are only paid if we successfully recover money for you.