Bonds that received investment-grade ratings when first issued but later fell to junk status are known as:

Question

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Bonds that were originally investment-grade but later fell to junk status are commonly referred to as "fallen angels." This term is used to describe a company's bonds that were once considered a good investment but then experienced a downgrade in their credit rating, making them less desirable to investors. The other choices (A, B, and D) do not accurately describe this phenomenon.

Bonds That Received Investment-Grade Ratings When First Issued but Later