11. Remember that with bonds, you have interest rate risk, as well as credit risk, which is the chance you take that the bond issuer will default. 12. Recent political tensions have brought Bulgaria closer to default than any other Brady bond issuer. 13. Securitization allows a bond issuer to use all or part of a loan portfolio or other source of income, as security for an asset-backed bond. 14. Subordinated bonds limit the right of bondholders to seek repayment on principal if a bond issuer becomes insolvent. 15. The agency is reviewing whether the credit-rating agency tried to improperly pressure bond issuers to hire it to evaluate their debt. 16. The bond issuers generally pay for the ratings and investors rely on them to judge the riskiness of securities they plan to buy. 17. The case raised broader questions about whether municipal bond investors have the right to seek damages in private lawsuits against government bond issuers. 18. The New York-based company met with Brazilian government officials and potential bond issuers last week to market its services for rating new sovereign and corporate debt issues. 19. The Securities and Exchange Commission, the city said, can adequately police potential abuses by government bond issuers. 20. The threat of an bad unsolicited rating can influence the decision of a bond issuer to give its business to one rating company over another. |