England, Wales
Also known as speculative grade debt. A loan made to a borrower with a poor credit rating. A borrower's credit rating is determined by a rating agency or, in some cases, more than one agency.
Standard & Poor's ratings for sub-investment grade loans range from 'BB+' to 'D'.
See also investment grade loan.
Practical Law Dictionary. Glossary of UK, US and international legal terms. www.practicallaw.com. 2010.