If high-yield bonds had a yield of 5.2% while US Treasury yields on the same...

80.2K

Verified Solution

Question

Accounting

If high-yield bonds had a yield of 5.2% while US Treasury yields on the same maturity is 2.07%, what may cause an investor to invest in US Treasury yields instead of the high-yeld bond?

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students