6. Special Considerations of High-Yield, Sovereign, and Municipal Analysis

j. explain special considerations when evaluating the credit of high yield, sovereign, and municipal debt issuers and issues.

Why are high-yield bonds issued? High-yield bonds are issued by organizations that do not qualify for investment-grade ratings.

What are two types of municipal bonds? - General obligation (GO) bonds depend on the general creditworthiness of a municipality to repay the debt. - Revenue bonds support specific projects.