HYLD News and Press, High Yield From 03/28/23

2023-03-28 21:52:00 ET Summary If the recent crisis of confidence was created by bigger concerns about inflation and sharp moves in rates, the focus now is more on Alpha, the issuers in credit markets. Another drag on bank risk comes from the US regional banks. Significant vol...

2023-03-28 11:41:00 ET Summary Historically, higher-rated short-duration high-yield bonds have provided strong returns with defensive characteristics. Over the 20 years ending September 30, 2022, BB- and B-rated high-yield bonds between one and five years to maturity captured more...

2023-03-27 11:25:00 ET Summary It makes sense to prepare for the turning point in this cycle - but not by returning to the winners from the last cycle. Growth would slow and unemployment would rise, and while credit defaults would remain low for the time being, a decline in corpor...

2023-03-22 06:28:00 ET Summary Recent uncertainty, instigated by the issues seen across the financial sector, has led to a change in investment flows seen across exchange traded funds. A change in investment flows can be seen over the month of March as equity market volatility has...

2023-03-22 03:20:00 ET Summary An active Fed means that investors may finally get some yield out of front-end fixed income. Inverted curves also mean attractive income with limited duration risk, in our view. We think that elevated inflation will likely keep the Fed hiking rates. ...

2023-03-22 02:50:00 ET Summary Both the leading indicators of growth and liquidity continue to suggest growth will slow as 2023 progresses. The housing market and the inventory cycle in particular are still material headwinds to growth, while we are still unlikely to have fully fe...

2023-03-21 14:05:00 ET Summary Increased uncertainty in the global banking system and violent swings in rates markets have led to weakness in credit. Statistically, spreads are looking cheap, but we argue that risks remain high and market direction is still uncertain. While th...

2023-03-13 06:30:00 ET Summary Higher yields are causing fixed-income allocations to increase. The Fed funds rate is close to the yield of the Bloomberg U.S. Aggregate Index of investment-grade bonds. If you can stay alert to and access opportunities in more niche and less liq...

2023-03-10 07:47:00 ET Summary Aggressive Fed tightening over the past year or so has devastated the value of bond portfolios because interest rates have risen by more and faster than during any prior bond bear market. The bond market is signaling that the outlook for the economy ...

2023-03-07 12:10:00 ET Summary Over the past 30 years, there have been three recessionary periods during which high-yield spreads rose by an average of 630 bps. Lofty yield levels in the HY market have provided investors with a cushion to absorb potential losses from deteriorating...