Miami Junk Bonds Attorney

Junk bonds are another name for a high-yield or non-investment grade bonds. Junk bonds are fixed-income instruments that carry a rating of “BB” or lower by Standard & Poor’s, or “Ba” or below by Moody’s. Junk bonds have been given that name because of their higher default risk in relation to investment-grade bonds.

Junk bonds are risky investments, but have speculative appeal because they offer much higher interest rates than safer bonds, such as municipal bonds. Companies that issue junk bonds typically have lower credit ratings, and investors demand these higher yields as compensation for the risk of investing in them.

Junk bonds are not suitable for every investor. Often times financial advisers will purchase junk bonds in customer accounts in order to try and receive a higher overall return on the portfolio or because junk bonds often pay a higher commissions than investment grade bonds.

Carlson & Associates, P.A. has experience in handling cases involving junk bonds and other Miami investment fraud situations.

Contact our Miami Investment Fraud Attorneys

Carlson & Associates, P.A. has years of experience helping Miami clients with investment fraud, corporate & partnership disputes, officer liability and coverage & legal and accounting malpractice. Contact us online or call 305-372-9700 for more information or assistance.