1. Moody's Warns: 'Covenant-Lite' Frenzy in Junk Loans Erodes Final Investor Safeguards
The last line of defense for investors in risky corporate loans is being systematically dismantled in the rush to win deals. According to a stark analysis from Moody's Ratings, lenders are aggressively relaxing protective covenants—the contractual rules that give investors early warning and recourse when a borrower's f...