Pioneer High-Yield Fund manager Margaret Patel, whose fund has returned 20% so far this year, told Reuters that in spite of the recent sell-off in high-yield bonds, now is the perfect opportunity to buy them. High-yield junk bonds suffered $1.1 billion in net outflows last week, their biggest decline since last September, according to
Patel might know what she is talking about. While other investors sold out of
"Whats important is the business position" of companies, Patel told Reuters. "At a time when financial markets were closed to many companies, and banks were very restrictive in their lending, a company that had a liquid balance sheet and wasnt dependent on going to banks or the credit markets was very appealing."
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