Bond: A financial instrument where the issuer (debtor) is obliged to pay the holder (creditor) periodic interest and principal back at maturity.
Bonds and Loans form the bedrock of capital markets. It is the highest part of the capital structure in a company’s balance sheet. Creditors can hope to recover at least some of their dues even in case of bankruptcies.
It is important to analyse the fundamental creditworthiness of issuers of bonds. What makes this company’s business model sustainable? Will the issuer survive? Is the external environment going to help the issuer to become more creditworthy? Is the risk fairly priced?
We attempt to identify classes of bonds which provide good risk adjusted returns.
Tactical Fixed-Income Trades for Balanced Investors:
Tactical Fixed-Income Trades for Aggressive Investors: