Bond Market Credit Risk: Protecting the Investor

Exclusive online content Webinar

Whilst fixed income continues to be one of the most dominant asset classes for issuers and investors, often the analysis of the credit risk associated with the instrument remains limited to a simple review of the instrument’s credit rating.

This “Bond Market Credit Risk: Protecting the Investor” course seeks to address this issue – reviewing not just the credit risk profile of the issuer, but also the structural features of this instrument that can make an investor’s position either weak or strong.

Suitability

This course has been designed to suit anyone involved in fixed income – from sales to origination, and from trading to operational support, critically:

Traders, asset managers and bond sales staff seeking to improve their knowledge of fixed income from the credit perspective
Infrastructure staff seeking to gain a better understanding of the fixed income product beyond pricing and yield curves

Learning Outcomes

By the end of the programme delegates will be able to:

Explain the ways in which a fixed income instrument can be structured effectively to protect the investor
Critically evaluate the types of covenant that might typically be found in a fixed income instrument
Explain how secured bonds, (if collateralised by fixed assets) can provide for a better recovery for a bond in distress

Course Content

The three ‘threads’ of investor protection: collateral, covenants and subordination

Analysing Covenants:

Maintenance covenants
Incurrence covenants
Examples: How to spot potential covenant deficiencies

Collateral:

How often do we see fixed income instruments with security packages?
Types of collateral – the advantages and disadvantages
Taking security and analysing priority under Absolute Priority Rule
Collateral and debt recovery rates
Understanding key legal terms

100%

of our clients would recommend Alpha to a colleague or peer

90%

of a cohort was promoted within 2 years after participating in an Alpha course.

96%

of participants felt more confident in their role, following an Alpha commercial leadership course.

Why study with Alpha?

Innovation and creativity born from experience

We are thought leaders in instructional and learning journey design and holistic solution architects. We have extensive finance and investments experience combined with skills application to deliver performance improving results. We develop immersive learning environments that maximize time to productivity, support talent retention and added value to improving quality of hires.

Knowledge Exchange Evangelists

We are focused on mining the embedded organisational intellectual capital for the benefit of the next generation. We create and curate best in class practice gathered from our experience with the leading financial institutions. We design our programmes with the end in mind – what results are you trying to achieve with this intervention? What metrics will we set ourselves to achieve that?

Generation Proof

Quality and innovation, using current market and industry best practices, have made us a trusted partner in delivering dynamic and motivating training for the financial and capital markets. Our programmes are generation proof and responsive to evolving learner needs and styles. Our solutions use a multi-stakeholder engagement strategy that expands beyond relationships between the learner and learning provider. We create connections with managers, peers and the wider business to drive impactful return on investment..

Enquire now

"*" indicates required fields

The team are so friendly and pleasant to work with, everyone is very professional and keen to help us. Building a relationship over the past couple of years helps us to feel like the Alpha team are even more able to understand our needs and provide more proactive solutions.