Public-issue, US dollar denominated bonds of developing countries.
Named for former U.S. Treasury Secretary Nicholas Brady, Brady bonds were created to alleviate Latin America`s debt crisis in the 1980s. Under the Brady plan, creditor banks exchanged existing bonds for new bonds with lower face value but with principal backed by U.S. Treasury bonds.
Securities issued by foreign governments as part of a debt-restructuring program initiated by former U.S. Treasury Secretary Nicholas Brady.
U.S. dollar-denominated bonds issued by emerging markets, particularly those in Latin America, and collateralized by U.S. Treasury zero-coupon bonds.
Named after James Brady, Brady bonds were issued by the Mexican government as part of its 1990 debt restructuring.
(go to top) These are issued to commercial banks by debtor countries to repay defaulted developing country loans. These bonds, named after former US Treasury Secretary Nicholas Brady, are partially collateralised by the US Treasury Department.
In 1989, U.S. Treasury Secretary Nicholas Brady proposed the concept of bonds backed by the U.S. Treasury but with actual repayments being made by a sovereign lesser developed country. If a nation is unable to maintain its current payment schedule then it can reschedule repayments by exchanging its sovereign or bank debt for a Brady bond. This bond is usually guaranteed by U.S. Treasury Zero Coupon bonds which the nation purchases to back the bonds which are in default. See U.S. STRIPS.
Bonds issued by emerging countries under a debt reduction plan.
Bonds created by converting the sovereign debts of Argentina, Mexico and Venezuela into tradeable securities under a plan initiated by the US Government in 1989. Named after its author, Brady.
Brady bonds were first issued by the Mexican government as part of its 1990 debt restructuring and have evolved into a IMF/World Bank-backed scheme for restructuring emerging market sovereign debt by issuing bonds collateralised by US treasury bonds. Named for Nicholas Brady, the US Treasury secretary in the early 1990s.
Bonds issued by developing countries under a debt-reduction plan.
Break even payment rate Bull bear bond
Brady bonds are dollar-denominated bonds, issued mostly by Latin American countries in the 1980s, named after U.S. Treasury Secretary Nicholas Brady.