NCV - An Update On Convertible Securities
By David King, CFA, Senior Portfolio Manager
Low or negative returns from equities and bonds are resulting in a spike of interest in convertible securities. David King provides a sector update.
Q: What do you tell investors who've never looked at convertible securities before?
David: Investors assume that performance and risk of convertible securities is somewhere in the middle of bonds and stocks. But over the last 20 years, convertible securities have performed a bit better than the S&P 500 Index with less volatility and more yield. I always start the discussion there, and the