During the last financial crisis, there were widespread defaults among loans that would meet the qualified - mortgage standard today. (americanbanker.com)
Thus, investors lose in nominal terms only if the fund is sold before maturity in a rising rate environment, or there is widespread default on the underlying bonds. (etfbase.com)
But the ratings agency said widespread defaults remained a tail risk, or a potential scenario with only a small probability of occurring. (cnbc.com)