Question

In relation to bonds, which one of the following terms has the same meaning as the term "crossover"?

1) Speculative
2) 5B
3) Fallen angel
4) Junk
5) Triple A

Answer 1

The term that has the same meaning as the term 'crossover' in relation to bonds is 'fallen angel'.

Step-by-step explanation:

The term that has the same meaning as the term 'crossover' in relation to bonds is fallen angel.

Crossover refers to a bond that was initially issued with a high credit rating, but has since been downgraded to a speculative or junk status. This can happen if the issuer's financial situation deteriorates.

A fallen angel bond is also a bond that was once rated as investment-grade but has been downgraded to speculative or junk status.