Is the urban investment bond absolutely safe and risk-free? The default events of urban investment bonds in individual regions deserve investors' attention! "Suddenly like a spring breeze overnight, thousands of trees and pear blossoms", "Looking at the investment market, urban investment bonds are very good here", many corporate bonds thunderstorms, urban investment bonds with zero default records have been favored by investors, but recently there is a phenomenon of individual urban investment private debt defaults, like a thunderclap, breaking the rigid payment belief of urban investment bonds. Enterprise bonds refer to securities that are mainly issued by enterprises with legal personality in China in accordance with legal procedures and agreed to repay the principal and interest within a certain period of time. For example, many private enterprises and real estate enterprises such as Evergrande Real Estate, Hebei Huaxia Happiness and other corporate bonds, such debts are essentially the use of enterprise credit, once the enterprise loses the ability to repay debts when due, default, investors will face the risk of loss. The urban investment bond is mainly used as a financing tool for local urban construction, the issuer is a local state-owned platform enterprise, behind which is the financial strength and credit of the local government, so the urban investment bond is also known as "quasi-municipal bond", and it is generally believed that the probability of default of urban investment bonds is extremely low. In 2021, the differentiation between urban investment bonds was first caused by external factors such as non-standard financing defaults. In 2021, there were 33 non-standard products with Urban Investment as the financing party and defaulting, and 18 non-standard products with Urban Investment as the guarantor and defaulting. In the future, when we invest in urban investment bonds, we must distinguish between standard urban investment bonds and non-standard urban investment private bonds, and the financial and financial conditions of the local government and issuers deserve special attention, and it is recommended that you purchase standard urban investment bonds with a rating of AA or above.
