1Q 2021 Investor Presentation
Improving Default Outlook and Tight Spreads Create Supportive
Issuance Environment
Default Rates for Speculative-Grade
Corporate Rated Issuance1
Global
16%
14%
12%
10%
8%
6%
4%
2%
0%
U.S. -Europe
2008
2009
2010
2011
Source: Moody's Investors Service "March 2021 Default Report".
1.
2.
Source: Bloomberg.
3. Source: Refinitiv PLC. Monthly - Average yield. Deal Size >$100M to $500M.
Moody's | Better decisions
2012
4.2% global
historic average¹
2013
2014
2015
2016
2017
2018
2019
2020
2021F
High Yield Bond Spreads²
U.S. 10 Year Treasury
U.S. HY Yield (%)
-U.S. HY Spread (%)
12%
10%
8%
6%
4%
4.8% U.S. HY Spread average²
2%
0%
Jan-20 Mar-20 May-20 Jul-20 Sep-20
Nov-20
Jan-21 Mar-21
Institutional Loan Yields³
10%
3.9%
3.2%
9%
2.3%
8%
7%
6%
5.6% average³
5%
4%
Jan-20 Mar-20 May-20
Jul-20
Sep-20
Nov-20 Jan-21 Mar-21
1Q 2021 Investor Presentation
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