Which of the following indicates a "distressed asset"?

A distressed asset is characterized by a significant decline in value, often due to financial instability or operational challenges faced by the underlying entity. This situation may require restructuring efforts to restore the asset's viability or performance. The key aspects of a distressed asset include its impaired financial condition and the potential for recovery through strategic interventions.

The other options do not align with the definition of a distressed asset. An asset with a high market value that is readily investable signifies strong market performance and demand, indicating it is not distressed. Similarly, an asset performing exceptionally well in the market denotes stability and growth, further distinguishing it from a distressed designation. Lastly, an asset with guaranteed returns speaks to security and predictability, which are qualities not associated with distressed assets, as they often involve increased risk and uncertainty.