There are a number of mixed signals and misconceptions in the financial markets today. Markets are hard to make sense of, but it is often during times of confusion when investors have the most to gain. We see abundant value in today’s high yield market for active, selective managers, but navigating this can be difficult with all the noise concerning this market right now. In order to better understand the high yield space, we look through a few of the headlines and fears driving the market, yet where the underlying circumstances don’t add up, and discuss the value we see in high yield bonds in our latest piece “Making Sense of Markets.”
Although information and analysis contained herein has been obtained from sources Peritus I Asset Management, LLC believes to be reliable, its accuracy and completeness cannot be guaranteed. This report is for informational purposes only. Any recommendation made in this report may not be suitable for all investors. As with all investments, investing in high yield corporate bonds and loans and other fixed income, equity, and fund securities involves various risks and uncertainties, as well as the potential for loss. High yield bonds are lower rated bonds and involve a greater degree of risk versus investment grade bonds in return for the higher yield potential. As such, securities rated below investment grade generally entail greater credit, market, issuer, and liquidity risk than investment grade securities. Interest rate risk may also occur when interest rates rise. Past performance is not an indication or guarantee of future results. The index returns and other statistics are provided for purposes of comparison and information, however an investment cannot be made in an index.