"Default risk" refers to the possibility that a borrower may fail to pay back their debt on time or in full. It represents the likelihood of a borrower defaulting or failing to meet their financial obligations. Full definition
The private - label securities channel continued to stay close to or at the record low for the amount of default risk taken. (urban.org)
Canadian bond investors should be able to obtain lower default risk for their portfolios at higher yields by investing in foreign issuers. (cansofunds.com)
The opportunity cost of accepting lower default risk, therefore, is higher interest income. (investopedia.com)