Junk bond fund,
Definition of Junk bond fund:
A high-yielding high-risk security, typically issued by a company seeking to raise capital quickly in order to finance a takeover.
Mutual fund that invests primarily in bonds rated lower than investment grade rated BB or below in Standard & Poors rating scale, or Ba or below in Moodys rating scale for high rates of return at higher risks.
How to use Junk bond fund in a sentence?
- Yet the growth of hostile takeovers, junk bond finance, and corporate raiding tilted the balance of power over the course of the decade away from managers towards shareholders.
Meaning of Junk bond fund & Junk bond fund Definition