EFTA Document EFTA01458272

1 September 2015 Corporate Credit: Back to school - The edge of nonnality [Figure 7: HY Credit Spreads vs. HY Default Rates - US (left ) and Europe (right) 2,000 20% 1.500 15% 1,000 10% 500 5% 0 0% 1988 1992 1996 2000 2004 2008 2012 USD HY Spread (bps. LHS) _US HY Default Rate (RHS) Sane Deurtem ant. Marron Anwar Ms. Menoe Grap 2,000 1.500 1,000 500 12% 10% 8% 6% 4% 2% 0 0% 2003 2005 2007 2009 2011 2013 2015 EUR HY Spread (bps, LHS) -European HY Default Rate (RHS