Bonds are subject to availability. Minimum purchases may apply. Information as of 11/12/2024. Yields represent yield to maturity or yield to worst call as indicated. Prices and yields are subject to change based upon market conditions and availability. A credit rating of a security is not a recommendation to buy, sell or hold securities and may be subject to review, revision, suspension, reduction or withdrawal at any time by the assigning rating agency. Ratings do not remove market risk.
Credit quality ratings are assigned by Moody's Investor Service, Standard & Poor's and Fitch Ratings, Inc. See table below for a description of the various ratings.
Insurance, if specified, relates to the timely payment of principal and interest. Insurance does not guarantee market value or protect against fluctuations in bond prices. No representation is made as to the insurer's ability to meet its financial commitments.
Income from tax-free municipal bonds is not subject to federal income taxation; however, it may be subject to state and local taxes and, for certain investors, to the alternative minimum tax. Income from taxable municipal bonds is subject to federal income taxation, and it may be subject to state and local taxes. In addition, certain municipal bonds (such as Build America Bonds) are issued without a federal tax exemption, which subjects the related interest income to federal income tax. However, bonds may be subject to the federal alternative minimum tax (AMT), and profits and losses on tax-free bonds may be subject to capital gains tax treatment. Interest from taxable zero coupon securities is subject to annual taxation as ordinary income, even though no income is received until maturity. Zero coupon bonds may have increased price fluctuations since there are no regular interest payments. The principal value of the bond may be worth more or less if sold prior to maturity.
High-yield bonds are not suitable for all investors. The risk of default may increase due to changes in the issuer's credit quality. Price changes may occur due to changes in interest rates and the liquidity of the bond. When appropriate, these bonds should only comprise a modest portion of your portfolio.
Certain early redemption features, such as a call at issuer's option, provide the issuer an option to repay principal prior to maturity and may change the term of the investment. If bonds are sold prior to maturity, proceeds may be more or less than the initial investment due to market fluctuations. There is an inverse relationship between interest rate movements and fixed income prices. Generally, when interest rates rise, fixed income prices fall and when interest rates fall, fixed income prices generally rise. Investing involves risk and investors may incur a profit or a loss.
Corporate Bonds are debt obligations of the issuing corporation. Corporate bonds offer a wide variety of yields based not only on different maturities but also the rank in issuer's capital structure, the sector and credit quality. For those investors willing to take on extra credit risk, corporate bonds often provide opportunities for increased income.
Bonds are subject to risk factors including:
1) Default Risk - the risk that the issuer of the bond might default on its obligation
2) Rating Downgrade - the risk that a rating agency lowers a debt issuer's bond rating
3) Reinvestment Risk - the risk that a bond might mature when interest rates fall, forcing the investor to accept lower rates of interest (this includes the risk of early redemption when a company calls its bonds before maturity)
4) Interest Rate Risk - this is the risk that bond prices tend to fall as interest rates rise
5) Liquidity Risk - the risk that a creditor may not be able to liquidate the bond before maturity
To request more information regarding this bond offer, please contact us using the information below:
Email: SearchForBonds@RaymondJames.com
Toll Free Phone: 800.657.8622
Local: 561.630.8417
Mail:
Raymond James & Associates, Inc.
3399 PGA Boulevard, Suite 200
Palm Beach Gardens, FL 33410
Learn more about the Palm Beach Wealth Advisors
Rating | Description |
Aaa |
Highest quality. Considered to have minimal credit risk. |
Aa |
High quality. Considered to have very low credit risk. |
A |
Upper-medium grade. Considered to have low credit risk. |
Baa |
Medium grade. Considered to have a moderate level of credit risk and may have some speculative qualities. |
Ba |
Below investment grade. Considered to have significant credit risk and has speculative qualities. |
B |
Below investment grade. Considered to have a high level credit risk and is speculative in nature. |
Caa |
Below investment grade. Considered to have a very high level of credit risk and is in poor standing. |
Ca |
Below investment grade. Considered highly speculative and may be in default or near default. |
C |
Below investment grade. Usually in default with little chance of paying back principal and/or interest. |
Moody's Investors Services |
Rating | Description |
AAA |
Highest rating. Issuers ability to repay principal and interest is extremely strong. |
AA |
Issuer's ability to repay principal and interest is very strong. |
A |
Issuer's ability to repay principal and interest is strong. However, the issuer is more vulnerable to economic conditions. |
BBB |
Issuer's ability to repay principal and interest is adequate. However, the issuer is more vulnerable to economic conditions or changing circumstances |
BB |
Below investment grade. Issuer has the ability to repay principal and interest. However, adverse business, financial or economic conditions may impair the issuer's ability to repay principal and interest. |
B |
Below investment grade. Issuer has the ability to repay principal and interest. However, repayment may be difficult during times of adverse business, financial or economic conditions. |
CCC |
Below investment grade. Issuer vulnerable to not repaying principal and/or interest. Repayment is dependent on favorable business, financial and/or economic conditions. The issuer may have a difficult time repaying principal and/or interest. |
CC |
Below investment grade. Issuer highly vulnerable to not repaying principal and/or interest. |
C |
Below investment grade. Issuer very vulnerable to not repaying principal and/or interest. Could also be an issuer during bankruptcy filing, but is still making payments. |
D |
Below investment grade. Issuer is currently in default. |
Standard & Poor's |
Rating | Description |
AAA |
Highest credit quality |
AA |
Very high credit quality |
A |
High credit quality |
BBB |
Good credit quality |
BB |
Speculative |
B |
Highly speculative |
CCC |
Substantial credit risk |
CC |
Very high levels of credit risk |
C |
Exceptionally high levels of credit risk |
D |
Default |
Fitch Ratings, Inc. |
AGC | Assured Guaranty Corp. | FGRMB | FGIC Reinsured by MBIA |
AMBAC | American Municipal Bond Assurance | FSA | Financial Surety Assurance |
BHAC | Berkshire Hathaway Assurance Corp. | MBIA | Municipal Bond Insurance Company |
CIFG | CIFG Guaranty | NPFG | National Public Finance Guarantee Corp. |
FGIC | Financial Guarantee Insurance Corp. | Syncora Guarantee Inc. | Previously XL Capital Assurance Inc. |