Monthly Archives: November 2015

Compelling Value in Today’s High Yield Market

Be it the nearly 5% decline in corporate profits year over year that we saw in the third quarter or the flat retail sales over the past three months domestically, or the GDP slowing and declines we are seeing worldwide, …

Posted in Peritus

Duration-based Investing in the High Yield Market

With all of the talk of the Federal Reserve taking action and raising rates in the coming month, focus has turned once again toward duration. Duration is a measure of interest rate sensitivity (the percentage change in the price of …

Posted in Peritus

Looking for Price Discounts in the High Yield Market

Our investment strategy focuses on generating what we believe to be an attractive yield relative to the risk being assumed.  We view risk as the risk of default and/or loss.  Yield can come from bonds with high coupon rates priced …

Posted in Peritus

High Yield Bonds and Interest Rates: Timing Irrelevant

After Friday’s strong jobs report, it’s looking like the Fed might finally have some data to justify in their minds making their first interest rate increase. With that, the December rate hike is starting to look more and more likely. …

Posted in Peritus

Assessing Default Risk, Yields Matter

The most important risk to consider when investing in the high yield market is the risk of default. While there may be price volatility along the way, as we are currently seeing the space, bonds have a stated maturity and …

Posted in Peritus