Income investors face a wide variety of investment options, each featuring many different characteristics. This panoply can make it difficult to construct a portfolio with a desired profile. In this article we take a look at the key investment characteristics of credit funds, their interaction and overall impact on portfolio performance as well as how investors can go about constructing portfolios with attractive profiles - their ultimate goal. We use the corporate credit sector as a case study, particularly the high-yield subset which is particularly rich in different types of securities and fund options.
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