The Man Who Sold The World is finding that all isn't Hunky Dory in the world of bond markets.

A slump in music sales is worrying analysts at Moody's Investors Service, who have warned that the creditworthiness of pop star David Bowie's "Bowie bonds" may be at risk.

Six years ago, Bowie made financial headlines when he sold $55 million (€46 million) of bonds backed by future royalty payments on songs he had written and recorded.

The deal was the first time that pop music revenues had been secured in a financial transaction and bankers thought it would open up a lucrative new market.

James Brown and the Isley Brothers sold similar bonds, but the early hopes of growth have not been realised, in part because the number of recording artists who, like Bowie, control their own copyright is relatively small.

The music industry's revenues have also taken a turn for the worse. Sales of recorded music have fallen sharply as the availability of free downloads over the internet has increased.

Moody's fears that this fall may hurt the creditworthiness of the Bowie bonds. The agency has indicated that the bonds' "A3" rating could be cut.

The Bowie bonds have also been affected by recent troubles at record company EMI Group, which has a $30 million agreement to distribute Bowie's music. - (Financial Times Service)