Visionary: a person with original ideas about what the future will or could be like.
Why is Michael Milken a visionary?
Bond market was dominated by two large bond rating agencies, Moody's and Standard & Poor's.
Rated risk factors in corporations guide investors on Wall Street (1).
Ex: "AAA" rating is risk-free and given to top corporations.
Usually produce very low interest rates to investors.
BBB is the lowest credit rating. They are called "fallen angels," because their companies had fallen on hard economic times.
Pay high interest and are sold at a discount because of their high risk factor (1).
Milken became known as the "Junk Bond King" because he made his fortune trading BBB corporations
He nicknamed them "junk bonds."
Started with two million dollars in capital at his company and generated a 100-percent return of the money invested in his company (1).
Milken reimagined the bond market, taking the…show more content… NETINDUSTRIES. Web. 27 Oct. 2014.
Clines, Francis. "An Unfettered Milken Has Lessons to Teach." The New York Times. The New York Times, 15 Oct. 1993. Web. 27 Oct. 2014.
Daniels, Cora. "Fortune." The Man Who Changed Medicine. Fortune, 29 Nov. 2004. Web. 27 Oct. 2014.
Eichenwald, Kurt. "MILKEN SET TO PAY A $600 MILLION FINE IN WALL ST. FRAUD."MILKEN SET TO PAY A $600 MILLION FINE IN WALL ST. FRAUD. The New York Times, 20 Apr. 1990. Web. 27 Oct. 2014.
"Michael Milken." Wikipedia. Wikimedia Foundation, 15 Oct. 2014. Web. 27 Oct. 2014.
Ferris, Sarah. "Billionaire Donor, without Connection to GW, Puts Faith and Money in Public Health School." Billionaire Donor without Connection to GW Puts Faith and Money in Public Health School Comments. The GW Hatchet, 11 Mar. 2014. Web. 29 Oct. 2014.
Milken, Michael. "Michael Milken - Philanthropist, Financier, Medical Research Innovator." Michael Milken. Prostate Cancer Foundation, 1998. Web. 29 Oct.