3Q 2021 Investor Presentation
Improving Default Outlook and Tight Spreads Create
Supportive Issuance Environment
Default Rates for Speculative-Grade
Corporate Rated Issuance¹
U.S. HY Bond Spreads²,3
1000
-U.S. HY Bond Spreads (L)
16%
Global
U.S. -Europe
14%
800
12%
10%
600
8%
4.1% global
historic average¹
6%
400
4%
1.7%
1.6%
2%
1.5%
0%
200
2009
2011
2013
2015
2017
2019 2021F
3Q19
1Q20
3Q20
» Trailing twelve month global speculative-grade default rate fell to 2.6% at the end of September 2021
1Q21
3Q21
»
Global trailing twelve month speculative-grade default rate will fall to 1.7% by the end of December 2021
1.
Moody's rated corporate global speculative grade default historical average of 4.1% from 1983 through September 30, 2021. 2021 forecast for trailing twelve months ended December 31, 2021 from Moody's Investors Service "September 2021 Default
Report" published October 11, 2021.
2.
Reported data as of September 30, 2021.
3. Bond spreads as of the last day of each month. Source: St. Louis Fed Database.
Moody's | Better decisions
3Q 2021 Investor Presentation 18View entire presentation