Wealth Manager - the site for professional investment managers

Register to get unlimited access to all of Citywire’s Fund Manager database. Registration is free and only takes a minute.

Crowded US high yield overtakes EU periphery debt

Crowded US high yield overtakes EU periphery debt

For a little while now our view has been that high yield as an asset class is expensive. To the extent we own high yield we have been very selectively buying credits where we like the fundamentals and short-dated issuance where there is high certainty over cash flows. As a sign of weakness, new issues have been coming to market priced to perfection and aftermarket performance has been poor in many instances despite high levels of oversubscription. Now investor flows have turned negative too, especially in the US.

Adam Mossakowski, fund manager, Insight Strategic Bond Fund

This content is provided by Market Eye, BNY Mellon’s new blog, which is designed to provide you with a 15 second investment view of key market trends, expert research and insights in an illustrative and shareable format. You can register to receive Market Eye updates informing you of new posts by using the subscribe function below.


SUBSCRIBE NOW

For ideas and knowledge to inspire your investment thinking, subscribe to receive regular updates.



For professional clients only. Past performance is not a guide to future performance. The value of investments can fall as well as rise, so your client may get back less than they originally invested. The opinions expressed herein are that of the author, are not necessarily those of BNY Mellon, are not a statement of fact, are subject to change and do not constitute the regulated activity of “advising on investments” for the purposes of the Financial Services and Markets Act 2000. Furthermore, this material does not constitute an offer or invitation to anyone in any jurisdiction to invest in any BNY Mellon product or use any BNY Mellon services where such offer or invitation is not lawful, or in which the person making such offer or invitation is not qualified to do so, nor has it been prepared in connection with any such offer or invitation. For further information visit the BNY Mellon Investment Management website. Issued as at 26/08/14.

This article was provided by BNY Mellon and does not necessarily reflect the views of Citywire

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.
Citywire TV
Play Volatility is back, Europe's future & Ethical's key moment

Volatility is back, Europe's future & Ethical's key moment

This week’s episode of Investment Pulse takes a look at European prospects, FTSE volatility and whether public pressure is about to provide a push for ethical investment

Play Volatility spike: How ETFs can soften the blow

Volatility spike: How ETFs can soften the blow

ETFGI’s Deborah Fuhr discusses the role of ETFs in client portfolios during volatile market conditions

Play Winter market warmers, the post QE world and timing the Fed

Winter market warmers, the post QE world and timing the Fed

This week’s episode of Investment Pulse looks at the winding down of quantitative easing, whether to try and time a US Federal Reserve rate rise and if strong seasonal performers can reverse recent market slumps

Wealth Manager on Twitter