- Low-interest rates have left investors with fewer fixed-income options to bolster portfolio yield.
- Although valuations are still modestly expensive compared with historical averages, fundamentals for high-yield bond issuers are also strong.
- With an average yield of around 6% and a strong fundamentals foundation that may help limit downside risk, we believe that high-yield bonds present an attractive risk-reward proposition for a diversified multi-asset portfolio.
For further details see:
Being Selective In High-Yield Credit Can Help Multi-Asset Strategies