Browsing: distressed investing

Posts Tagged ‘ distressed investing ’

Corporate Distress and Its Derivatives

Mar 31st, 2019 | Filed under: Newly Added, Derivatives, The A.I. Industry, CDO Structuring and Credit RIsk, Hedge Funds, Event-Driven Hedge Funds, Credit Derivatives, Structured Credit Products, Structured Products

Henry T.C. Hu, of the University of Texas at Austin, School of Law, has written an article on the “information asymmetries” that are associated with corporations that are in financial distress, but not under bankruptcy court protection. It is an article that sends us back to the Christmas selling seasonRead More

Altman: 30 Years of Distressed Debt Strategies

Nov 8th, 2018 | Filed under: Newly Added, Hedge Fund Strategies, The A.I. Industry, Debt Types of Private Equity, Financial Economics Theory, Hedge Funds, Private Investments, Finance & Economics

In the late 1980s, the chairman of The Foothill Group approached Edward I. Altman, already then well known for the creation of the Z-score used for predicting bankruptcy. The chairman asked Altman to develop a descriptive and analytical white paper on distressed debt. He obliged, writing first a paper onRead More

How ‘Fair’ is New Chapter 11 Reform? New ABI Study Investigates

Jan 14th, 2016 | Filed under: Newly Added, The A.I. Industry, Equity Hedge Funds, Alpha Strategies, Regulatory, Regulatory Environment, Hedge Funds, Event-Driven Hedge Funds

By Konstantin Danilov, CFA Even though the rate of public company bankruptcies is at an all-time low, there has recently been lots of discussion regarding proposed chapter 11 reform.  If enacted, some of these proposals may have interesting implications for distressed debt investors in the future. Proposed Reforms and ResponseRead More

The Second Circuit: A Wrestling Ring for Argentina & Creditors

Aug 9th, 2012 | Filed under: Retail Investing, Alpha Strategies

The Clearing House Association has filed an amicus brief in the NML litigation, effectively acting on behalf of its member banks, arguing that the pari passu language in the bonds issued by Argentina in the 1990s folllowed “standard language included in substantially the same form in numerous credit documents,” and contending that a decision upholding the district court would upset “the long-understood meaning of these clauses in the market.” Read More

A Sigh of Relief from Credit-Bidding Distressed Asset Investors

Jun 12th, 2012 | Filed under: Alpha Strategies, Regulatory

Decisions by the Fifth and Third Circuit Courts of Appeal in 2009-2010 threw into doubt the right of lienholders to credit bid at an auction pursuant to a cram-down reorganization plan. The problem was the vague phrase "indubitable equivalent," and its overly literal interpretation by those two Courts.Read More