European high-yield market development

Fitch used the market prices of defaulted bonds one month after default as a proxy for recovery value. The growth of a secondary market for European high-yield bonds made this analysis possible but ultimately the various bankruptcy jurisdictions in Europe will determine how bondholders will fare. The outcome of these filings will be very meaningful for the development of the market going forward because each country has its own bankruptcy laws and not all are favorable to bondholders. Some jurisdictions, such as France for example, strongly... 

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