U.S. demand for a riskier form of corporate debt known as junior subordinated debt is on the rise, according to an article by The Economic Times. This type of debt offers higher yields than senior bonds but comes with increased risk, as holders of junior subordinated debt are among the last to be paid in case of default. Companies are issuing these bonds to cater to investor demand for high-yield assets. The article highlights that the reward for the high risk is yields that exceed those of senior bonds, with maturities of up to 40 years. So far this year, five companies have issued $4.6 billion of junior subordinated debt, and more companies are expected to enter the market. Barclays estimates that sales of junior subordinated bonds could reach $15 billion to $20 billion this year. [fd26ca4d] [406662b0]