All High Yield articles – Page 8
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VideoOpportunities in US high-yield credit
Shannon Ward, fixed income portfolio manager, discusses numerous factors she believes are creating a compelling opportunity in US high-yield bonds.
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White papersA hawkish hold as the best outcome for asset prices
The Fed decided to leave the federal funds target rate unchanged, a hawkish hold that provides the flexibility to hike again if needed—or adopt a more dovish outlook should growth and inflation data warrant that approach.
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White papersNavigating Uncertainty 2.0 - Are bonds in the sweet spot?
Since the start of the year, the potential long term investment opportunity for fixed income has increased. Problems in the banking sector have raised the prospect that central banks will now pivot toward ensuring financial stability and either pause, or start cutting, rates. This increases the chances monetary policy could shift from a headwind for bond markets to overcome into a tailwind supporting results.
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White papersStubbornly high inflation sends bond yields higher
UK inflation fell by less than forecast in April, Wednesday’s data revealed, prompting expectations of further interest rate hikes, and pushing bond yields to their highest levels since October.
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WebinarFallen angels: unlocking price recovery potential
In our latest webinar, Ashton Parker and Anando Maitra, co-managers of LO Funds – Fallen Angels Recovery explored the attractive risk-adjusted return potential from fallen angel investing, throughout market cycles.
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White papersPrivate credit: A diverse and versatile toolkit for investors
For over a decade, both corporate and consumer borrowers benefited from low-interest rates and a very low cost of capital – but this is changing as global economies continue to adjust to central bank interest rate hikes and an uncertain geopolitical backdrop.
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White papersFallen angels: spreading their wings
Corporate bond universes have been historically separated into investment-grade (IG) and high-yield (HY) credit ratings since the rise of the junk bond market during the high-yield boom of the 1980s. This boundary has resulted in persistent dislocations – exacerbated by passive investment based on these indices – including the performance of so-called fallen angels. They are bonds which have recently been downgraded to high-yield ratings.
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White papersActively exploiting potential in fallen angels
Fallen angels fall for a reason; understanding the reason through an active approach helps avoid bonds that are likely to suffer from further downgrades and detract from performance. We delve into why credit analysis is key and illustrate our approach with two case studies.
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White papersTaking a Time Out? The High Price of Idle Cash
Parking your fixed-income assets in cash may seem like a safe choice in today’s volatile investing environment, but it’s actually a risky proposition. Here are three reasons why sitting on the sidelines can be a dangerous game.
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White papersOpportunities across the credit spectrum for multi-sector income investors
As central banks near the end of hiking cycles, the environment is becoming increasingly supportive for fixed income.
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White papersECB: Not Pausing―Yet
The ECB’s May rate hike was all about avoiding surprises and distinguishing itself from the Fed’s dovish message the day before. With inflation still high, the ECB “is not pausing.”
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White papersDon’t Bank on Bank Loans in 2023
As bond yields rose in 2022, investors sought refuge in high-yield bank loans, whose floating coupons are often heralded as an antidote to rising rates. But with conditions shaping up differently in 2023, bank loans may face challenges. We think income-seeking investors should instead consider a more diversified approach that balances rate and credit risks. Here’s why.
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White papersWhy are fallen angels the pick of high yield?
How could fallen angels offer a high-yield (HY) exposure of superior quality in a strategic allocation? We consider how investors can use these bonds to improve performance potential while mitigating relative ratings risk. In our previous insight of this three-part series, we made the case for a dedicated allocation to the segment due to the ability of price recovery to drive outperformance, and a compelling supply outlook.
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White papersFixed Income Perspectives April 2023
Markets appeared optimistic amid strong macro indicators until early March, when the collapse of two US regional banks and forced sale of Credit Suisse led to a risk-off sentiment.
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White papersQ2 2023 Strategic Investment Outlook: Balancing the Strategic and the Tactical
Balancing different time horizons always presents challenges. It may be intellectually ugly to hold different positions over short horizons and long horizons, but sometimes the macro setup suggests it’s the right way to proceed.
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White papersUnlocking the Investment Potential of “S” in ESG
Social issues are perhaps the most difficult to research and least understood by investors with an environmental, social and governance (ESG) focus. But the risks and opportunities they represent are growing, and investors need a way to step up to the challenge.
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White papersWith High Yield, Shorter May Be Better for Insurers’ Yields…and Capital Efficiency
With yield curves inverted in many parts of the world, investors no longer need to increase interest-rate risk to bolster yields. Instead, they can achieve the same end with shorter-duration high-yield bonds. For insurance investors that have typically shied away from high yield, we think this landscape—and the regulatory treatment—present a compelling opportunity.
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PodcastRiding the Curve: Isolating Income
The big difference between 2022 and 2023 for bond investors can be summed up in one word: Income. George Bory highlights the opportunities in this week’s episode.
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VideoHigh Yield: Finding Value in a Volatile Environment
Chris Sawyer, Head of European High Yield, discusses current conditions in the global high yield market and explains how they are creating the potential for attractive total returns.
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White papersSDG Engagement High Yield Credit, Annual Report 2022
In a review of the past 12 months, the investment team offers an in-depth view of engagement highlights, progress on milestones, performance and case studies.
