Corporate default is described as a deceptively rare event. This is especially true in South Africa where the generally high quality of corporate bond issuers has meant that until now there have not been any defaults in the listed bond market. We avoided investing in this bond for our portfolios, and the rationale for this is spelled out in an article i wrote for Nedgroup Investment’s quarterly newsletter:

http://nedgroupinvestments.co.za/insights/Single/660

Rashaad Tayob