Definitions for "Distressed securities"
Companies that are usually going through bankruptcy or reorganization. Managers buy these companies at bargain prices and resell if the company recovers.
managers invest in the equity or debt securities of companies that are in or facing a bankruptcy, reorganization, or other distressed situation. The investor hopes to purchase these securities at low, or distressed prices with the hope that these securities will appreciate when the company emerges from the distressed situation
A type of event-driven hedge fund investment strategy. Fund managers invest in the debt, equity or trade claims of companies in financial distress and generally bankruptcy. The securities of these companies typically trade at substantial discounts to par value. This attracts investors looking to exploit possible pricing inefficiencies should a turn-around materialise.
Keywords:  syndicate, distribution
Distributing syndicate Distribution