Issuing High Yield Bonds For levered companies that do not fit the investment grade bucket, there are still robust capital markets options available for debt issuance through the leveraged finance divisions of global investment banks. As discussed in other leveraged finance posts, a large suite of buyers invest in high yield bonds
Debt Capital Markets
Introduction to Green Bonds
Debt Capital Markets - What is a Green Bond? Green bonds are debt securities that use the proceeds to fund sustainable and environmental-friendly projects. Given today's investor focus on environmental, social and governance (ESG) factors - whether for political reasons or other ethical considerations, green bonds can be very attractive bond issuances
Introduction to High Yield Bonds
What Are High Yield Bonds? What separates investment grade and sub-investment grade? The answer is a designated credit rating by the mainstream credit rating agencies - Moody's, S&P and Fitch. Moody's is widely accepted to be the gold standard for rating agencies. The rating agencies will assign scores for corporates based on
Acquisition Finance: Bullet Debt
Acquisition Financing – Investment Grade Bonds, Private Placements, Term Loan B, High Yield Debt Bonds, notes and term loans for institutional investors are otherwise seen as much more permanent capital than bank debt and is not meant to be paid down opportunistically. Fixed income investors – which are a distinct group
Working in Treasury
Related: Interview with a Treasury Analyst What is Corporate Treasury? Treasury is the cash management function of the bank – it is responsible for cash inflows and cash outflows. Ideally, the treasury maximizes the cash inflows while minimizing the cash outflows via a variety of risk management solutions and opportune financing. Treasury
Debt Capital Markets Analyst and Associate Work
Interview with: Credit Rating Agency Analyst
Debt Capital Markets
What is Debt Capital Markets (DCM)? Back to Investment Banking Debt Capital Markets (DCM) is a financing group in Investment Banking which helps to connect debt issuers and debt investors depending on their respective needs pertaining to tenor/maturity, currency (issue in USD, CAD, GDP, CNY, JPY, EUR), coupon (fixed/floating), security/collateral, and other
Investment Banking Credit Ratings Advisory
Credit Ratings for Blue-Chip Corporates Companies care about their credit ratings and may have certain targets. For instance, many companies have historically aimed to maintain an investment grade rating from at least one credit agency (BBB- for Standard and Poors or Baa3 for Moody’s). Blue-chip stocks that see widespread investor interest are
Investment Banking Road Shows: Marketing and Distribution
Tapping the Capital Markets Clients of the investment bank, whether corporates, governments or organizations, look to the investment bank for executing their transactions in the capital markets. Whether this is to raise equity (through an intitial public offering or seasoned equity offering/follow-on offering) or debt (a maiden debt offering or experienced