Junk bonds

The Bloomberg Barclays Global High Yield Index flipped to an annual loss this week after just seven weeks in the green.

There’s a lot to complain about these days, from the effectiveness of the government’s $3 trillion stimulus package to unlimited quantitative easing.

“These funds got an assist from the Fed when they were told they would backstop the higher end of the high-yield credit industry,” an expert says.

Risk assets have benefited from stimulus programs enacted to shore up the economy as the fallout from the coronavirus continues to wreak havoc.

The firm’s chief investment officer spent as much as a third of that on high-yield funds, according to people with knowledge of the matter.

While the central bank’s support may help keep credit flowing amid the coronavirus, “it doesn’t necessarily improve the outlook for bankruptcies.”

Nearly all of your efforts should revolve around your website, showing who you are and why your firm is different, says marketing expert Dan Sondhelm.

The VanEck fund’s sell-off was so violent that it triggered the SEC’s alternative uptick rule.

Buyers yanked $2.9 billion from the sector in the final days of January, nearly wiping out gains so far this year, data show.

The downside for their clients, however, is it may obscure just how much credit risk they’re exposing themselves to.

Some of the same features that led to their unpopularity may also be what uncorrelated them from their peers, an expert says.

With markets near certain that the Fed will lower rates this month, debate has shifted to the size of the cut and its impact.

One of its products added a record $368 million after the firm discreetly slashed its fee in March.

The firm unveiled a discount in a footnote on page 94 of a revised regulatory filing.

“Just like equities, last year was a volatile year and the fourth quarter of 2018 did a number on the returns of risk assets,” an expert says.

The sector has seen an inflow surge in recent months as Treasury yields continue to fall.

High-yield and leveraged loan funds “rebounded incredibly strongly (too strongly, possibly),” a strategist writes.

The Global Income Fund slashed its equities exposure by nearly a third in October and moved part of the proceeds into U.S. and European high-yield debt.

The iShares 20+ Year Treasury Bond ETF took in close to $2 billion in September, putting it on track for its second most monthly inflows ever.

Clients may be tempted by the income from low-grade securities, but careful research is in order.