Content (107)

  • Fed's recent efforts have buoyed the high yield market

    White papers

    Fed’s recent efforts have buoyed the high yield market

    2020-07-01T13:14:00Z

    Over the course of a 10-week rally post crisis, we saw the high yield spread over Treasurys tighten into the mid-500s before widening modestly in the second week of June to 632 basis points. By June 19, spreads tightened into 606 and the average yield-to-worst ended at 6.45%.

  • Are senior corporate loans a hidden gem?

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    Are senior corporate loans a hidden gem?

    2020-06-24T10:48:00Z

    With seemingly little notice by anyone outside the senior corporate loan market, the asset class where we spend our waking hours has quietly propelled itself to a historic rally. There are still a few trading days to go in the quarter, and the S&P/LSTA Leveraged Loan Index’s quarter-to-date performance already stands at approximately 11%.

  • High yield market reacting to positive news, though potentially negative catalysts loom

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    High yield market reacting to positive news, though potentially negative catalysts loom

    2020-06-17T10:42:00Z

    The US high yield market got off to a slow start in May, but later surged following promising news on initial trials of several experimental COVID-19 vaccines, a rebound in oil prices and the ongoing stimulus from global central banks, with the expectation of more to come.

  • Bullish and bearish COVID-19 developments for late May

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    Bullish and bearish COVID-19 developments for late May

    2020-05-29T09:15:00Z

    Headlines tracking the scope of the coronavirus pandemic — such as new daily cases and death rates — may be driving investor sentiment. We’ve been monitoring key reports to gain some visibility into how much longer the crisis could continue. Here are the latest health and public policy updates related to COVID-19, developments that we consider either bullish or bearish, and the economic and market impacts.

  • Fed Chair Powell takes center stage

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    Fed Chair Powell takes center stage

    2020-05-28T08:16:00Z

    The week before the Memorial Day holiday began with two high profile appearances from Federal Reserve (Fed) Chair Jerome Powell, starting off with Sunday’s interview on CBS News program 60 Minutes and following up with Tuesday’s testimony before the US Senate Banking, Housing and Urban Affairs Committee.

  • Further volatility in high yield likely – our thinking is to take advantage of this, adding prudently to risk

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    Further volatility in high yield likely – our thinking is to take advantage of this, adding prudently to risk

    2020-05-27T09:15:00Z

    In this Q&A, Eaton Vance high-yield experts provide an update on market movements and changes in the macro environment and offer their thoughts on investment opportunities at this juncture.

  • Outlook grows more hopeful for EM debt

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    Outlook grows more hopeful for EM debt

    2020-05-26T09:15:00Z

    As the world continues to grapple with the health and economic implications of the COVID-19 pandemic, we believe the emerging-markets (EM) debt sector has reached a key milestone: While many factors remain difficult to quantify, we have potentially passed the point of “peak uncertainty” that jolted global markets in the first quarter. We believe a potentially bullish picture is taking shape for the future of EM debt.

  • Fundamentals return to the forefront in emerging-market debt

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    Fundamentals return to the forefront in emerging-market debt

    2020-05-25T09:15:00Z

    Volatility related to the COVID-19 outbreak and dramatic oil price decline in Q1 2020 precipitated a large sell-off in risk assets, including significant outflows from emerging-market (EM) debt funds.

  • We see upside potential in floating-rate loans, but not in a straight line

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    We see upside potential in floating-rate loans, but not in a straight line

    2020-05-22T09:15:00Z

    Following a month of sharply rising loan prices, the welcome rebound in the senior loan market is taking a breather at present. To recap the round-trip experience to date, the average price of the S&P/LSTA Leveraged Loan Index traded in the 96 context as recently as mid-February, plummeted to a low around 76 by the third week of the now-historic March and has since rallied to its current resting point around 86 — and here it has hovered for the last week or so. Though the market is roundly “halfway back,” prices today still rank among the lowest in the long history of the asset class.

  • Can the benefits of corporate ladders outclimb market volatility?

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    Can the benefits of corporate ladders outclimb market volatility?

    2020-03-12T16:04:00Z

    When I entered the investment management industry in the mid-1980s, the 10-year US Treasury note yielded over 10%. Since then, there’s been a remarkable trend lower in yields. This decline has often resulted in impressive annual performance for corporate bond investors, like last year’s 14.2% return.

  • Insights - Oil price declines do not change long-term ESG risk analysis

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    Insights - Oil price declines do not change long-term ESG risk analysis

    2020-03-11T16:25:00Z

    Five years ago, responsibly managed Calvert Funds (Calvert Funds) began to exit positions in stocks and bonds of oil & gas companies and never returned. These decisions were based on environmental, social and governance (ESG) analysis at the time, and Calvert Research and Management (Calvert) continues to believe today that the numerous ESG risks associated with oil and gas exploration and production are too high to justify investment in the stocks and bonds of companies that directly own material amounts of fossil fuel reserves.1

  • Longer-term economic fallout may hinge on how regions attack virus

    White papers

    Longer-term economic fallout may hinge on how regions attack virus

    2020-03-10T16:40:00Z

    The emerging markets debt team has been closely monitoring the novel coronavirus, COVID-19, and tracking its impact on the global economy, and we offer this update as of March 10.