Not exact matches
That's left a lot of
junk bond fund managers with plenty of exposure to the
energy sector at a time when oil prices have crashed and defaults, particularly among fracking companies, are rising.
It may be that stock investors figure that most of the problems in the
junk bond market are in the
energy segment, which accounts for about 17 % of the market.
One red flag for lenders is that the volume of
energy debt rated CCC or below — the weakest ratings among
junk bond issuers — has more than doubled to $ 62 billion from a year ago, Fitch said in a June 12 report.
The
energy and materials sectors of the
bond markets have been a real drag on performance on the
junk bond markets as
bond prices have fallen.
The
energy sector alone has $ 248 billion in
junk bond debt — some of the riskiest debt there is!
The collapse of the
energy market negatively affected the
junk bond market, with all headline high - yield indices posting negative returns.