Broader risks seen in event of junk bond funds fire sale-N.Y. Fed blog

February 19, 2016 5:45 PM

11 0

NEW YORK Feb 19 If junk bond funds embark on a fire sale of assets to meet massive redemption, it could spread across markets hurting other bond and stock funds, according to a blog from the New York Federal Reserve published on Friday.

But the spillover effect would be modest and not result in a systemic event.

Also read: Diocese of Brooklyn Sets Up Fund for Sexual-Abuse Victims

Read more

To category page