B. Riley Baby Bonds: Retail Investors Hit by Losses

Understanding Baby Bonds and Their Risks

B. Riley, a prominent investment firm based in Los Angeles, has recently come under scrutiny due to its forecast of the largest quarterly loss in its history. Central to this issue are the company's "baby bonds," a type of fixed-income security designed to appeal to everyday investors by being available in smaller denominations. These bonds have attracted significant attention, particularly from retail investors who are now feeling the strain of the firm's financial difficulties.