Credit research poll 2006: Analysts see the upside of a downturn

Banks’ credit research departments are readying themselves for a turn in the credit cycle towards a higher level of defaults and volatility. Florian Neuhof reports on the state of play.

Credit research poll 2006
Investment grade overall Investment grade sector breakdown
High yield overall High yield sector breakdown
Other products and markets Methodology

AT A TIME when default rates are low and spreads are tight, credit research is not enjoying quite the prominence it reached during the days of high volatility and default risk. Furthermore, regulatory changes have prompted many banks to cut back or even scrap the published research they provide. But an increase in event risk, the arrival of new products, the search for higher yields and the expectation of higher default rates mean that credit research is far from passé.

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