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Brady bond
A type of bond devised by the US Treasury secretary, Nicholas Brady, in 1989, and issued by a number of Latin American sovereign borrowers to reschedule their international debt. The idea was that heavily indebted governments struggling to cope with existing debt burdens would have their debt rescheduled, and would be allowed to issue new bonds on the condition that they adopted sensible monetary policies. Brady bonds were the result.Brady bonds are traded on over-the-counter markets and are high risk investments (because of the risk of default).
Similar MatchesBrady bondsBrady bonds
Bonds issued by emerging countries under a debt reduction plan.
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