Seeing is believing!
Before you order, simply sign up for a free user account and in seconds you'll be experiencing the best in CFA exam preparation.
Basic Question 2 of 2
Which statement is true?
I. High-yield bonds have a higher proportion of YTM attributed to a credit spread, while investment-grade bonds have a lower proportion of YTM attributed to a credit spread. II. The only difference between investment-grade and high-yield corporate bonds is simply the difference in credit spreads to compensate investors for assuming more or less default risk.
User Contributed Comments 0
You need to log in first to add your comment.
I am happy to say that I passed! Your study notes certainly helped prepare me for what was the most difficult exam I had ever taken.
Andrea Schildbach
Learning Outcome Statements
contrast the long-term funding of investment-grade versus high-yield corporate issuers
CFA® 2024 Level I Curriculum, Volume 4, Module 4.